Dollar could be nearing end of cycle
The dollar remained steady, consolidating after a long-term period of growth, but some analysts have begun voicing concerns over its future trajectory.
This morning the American currency was at 1.7425 to the pound and at 1.1763 against the euro.
After months of continuous growth, with the dollar strengthening in relation to both the euro and the pound, there has been speculation this week that the Federal Reserve may adjust its sustained interest rate rise policy.
Next week the Fed sits again to determine the latest rate, with expectations high for another quarter percentage point rise.
However, analysts such as Action Economics managing director Ronald Simpson say that the hikes could soon be coming to an end and is watching the details and nuances of the announcement carefully for any clues.
"On Tuesday, we may see some signs of them changing their statement," he told Reuters.
"In the bigger picture, the risks are probably turning to the downside for the dollar," he added.
Further economic information due out, such as the US October international trade balance, will also shape the currency's trajectory, but a turning point could soon be reached in its prospects.