0823 GMT – The dollar falls on growing conviction that the Federal Reserve has finished raising interest rates and as losses gather pace after the DXY dollar index on Friday dropped below its 200-day moving average, a key technical support. “The DXY dollar index is down around 3.5% from its highs seen in October. The drop looks largely down to the view that the Federal Reserve’s tightening cycle is over and that portfolio capital can now be put back to work in bonds, equities, and emerging markets,” ING currency analyst Chris Turner says in a note. The DXY falls 0.1% to 103.327, hovering close to last week’s multi-week low of 103.1780. GBP/USD hits a 12-week high of 1.2628, lifted by the weaker dollar. ([email protected])

CHF/JPY’s Medium-Term Bullish Momentum Has Begun to Dissipate, Charts Show

0754 GMT – CHF/JPY’s medium-term bullish momentum from the Oct. 3 low has begun to dissipate, based on technical analysis, Kelvin Wong, senior market analyst at Oanda, says in an email. Its daily relative strength index momentum indicator staged a bearish breakdown on Nov. 20 and retested support at the 60 level, Wong notes. On the 1-hour chart, CHF/JPY has also started to oscillate within an impending minor descending channel from its recent record high, and its hourly RSI has signaled bearish divergence at overbought territory, Wong says. These developments suggest the beginning of a possible multiweek corrective downtrend for CHF/JPY, whose near-term support is at 168.00, Wong adds. CHF/JPY is 0.2% lower at 169.13. ([email protected])