Credit Agricole CIB Research discusses the USD outlook and sees the focus on incoming US data to confirm a potential start of Fed easing cycle.

"In the very near term, the FX market will focus on the quality of the incoming US economic and corporate earnings data as they position for the approaching peak of Fed tightening and the start of its easing cycle," CACIB notes. 

"We continue to think that the US rates markets are pricing in a very early and aggressive start of the Fed easing cycle. That said, it would take more evidence this week that the US economy and banking sector in particular are holding up reasonably well to encourage investors to price in a less-dovish Fed policy stance and give the USD a boost," CACIB adds.