# US dollar flat to modestly higher as upbeat data backs May rate hike

> The U.S. dollar was little changed to slightly higher against major currencies on April 21 as business activity data suggested the U.S. economy remained resilient. The data supported expectations of another 25-basis-point Federal Reserve rate hike at the May meeting. The dollar index was on track for its first weekly gain in nearly two months.

- Date: 2023-04-21 · published 2023-04-21T12:00:00.000Z
- Category: macro · region US · magnitude low
- Page: https://feedsoft.ai/events/36297-us-dollar-flat-to-modestly-higher-as-upbeat-data-backs-may-rate-hike
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A firmer dollar and higher U.S. rate expectations tend to weigh on dollar-denominated commodity prices and strengthen the dollar against emerging-market currencies that buy feed ingredients.

## Read by commodity

- DXY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2016-11-16 | [Dollar near 11-month highs as upbeat US data gives rally fresh legs](https://feedsoft.ai/events/8330-dollar-near-11-month-highs-as-upbeat-us-data-gives-rally-fresh-legs.md) | +0.6% | -0.0% |
| DXY | 2023-04-28 | [US dollar firms as inflation data backs Fed hike; yen plunges](https://feedsoft.ai/events/36576-us-dollar-firms-as-inflation-data-backs-fed-hike-yen-plunges.md) | -0.3% | +1.2% |
| DXY | 2023-04-07 | [Dollar firms as US jobs report backs Fed hike in May \| Reuters](https://feedsoft.ai/events/36583-dollar-firms-as-us-jobs-report-backs-fed-hike-in-may-reuters.md) | -0.8% | -0.2% |
| DXY | 2024-05-01 | [US dollar modestly higher as sticky inflation persists, yen hits 34-year low](https://feedsoft.ai/events/12558-us-dollar-modestly-higher-as-sticky-inflation-persists-yen-hits-34-year-low.md) | -0.7% | -0.7% |
| DXY | 2018-06-13 | [Dollar mostly firmer as Fed sees more U.S. rate hikes \| Reuters](https://feedsoft.ai/events/64708-dollar-mostly-firmer-as-fed-sees-more-u-s-rate-hikes-reuters.md) | +1.3% | +0.6% |

## Sources

- reuters.com: https://www.reuters.com/markets/currencies/dollar-snaps-five-week-losing-streak-bets-us-rate-hike-may-firm-2023-04-21/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.