The DXY, which tracks the USD against six major currencies, is currently trading at 100.30 and is continuing to drop. The value of the Greenback has been decreasing as there is growing skepticism surrounding its reliability. Recently, ratings agency Moody’s downgraded the US credit rating from ‘AAA’ to ‘AA1,’ citing concerns about the country’s economic and financial stability. This has been an ongoing issue since US President Donald Trump implemented tariffs, as per Reuters. The Federal Reserve’s stance on this matter will be of keen interest as a number of Fed officials are set to speak today. The downgrade from Moody’s may have a negative impact on US yields, as investors may demand a higher risk premium before investing in US debt. This could potentially pose a challenge for the Fed if they intend to lower interest rates, as there could be a disconnect between monetary policy and the actual rates in the market. The US Dollar Index is losing its reliability as a safe-haven currency with the recent downgrade from Moody’s. This aligns with forecasts from numerous analysts since the US started implementing tariffs. The USD is now facing resistance at 101.90, which has served as a significant level in the past. The 55-day Simple Moving Average (SMA) at 101.94 also reinforces this barrier. If the USD gains momentum, it may reach the pivotal level of 103.18. On the other hand, 100.22 has now become a strong support level after being a resistance level earlier. This is followed by the year-to-date low of 97.91 and the pivotal level of 97.73. Further down, there is a relatively light technical support at 96.94 before reaching the lower range of this price range. This would be at 95.25 and 94.56, representing new lows not seen since 2018.