• The index trades with small gains above the 103.00 mark.
• US markets will be closed due to Independence Day on Tuesday.
• US ISM Manufacturing PMI takes centre stage later on Monday.

The greenback, in terms of the USD Index (DXY), starts the week on the positive foot and looks to reclaim the 103.00 hurdle in convincing fashion on Monday.

USD Index focused on US ISM

The index partially reverses Friday’s strong pullback and advances past the key 103.00 barrier on the back of some loss of momentum in the risk complex at the beginning of the week.

On the speculative front, net longs in the US Dollar increased to levels last seen in late March, around 15K contracts in the week ended June 27, according to the CFTC Positioning Report. The dollar’s strength during that period was once again underpinned by the Fed’s hawkish narrative amidst steady bets of a 25 bps rate hike at the July 26 meeting