The dollar may have come off the 14-year highs it's touched recently, but the greenback rally will likely soon catch a second wind, analysts said.

The , which measures the greenback against a basket of currencies, climbed as high as 103.82 at the beginning of January, but has since slipped as low as 99.233. The dollar index was trading around 95 at the beginning of October.



In mid-January, then President-elect Donald Trump told the Wall Street Journal that the U.S. dollar was "too strong," in comments considered unprecedented for a president, with some analysts describing the effort to jawbone down the greenback "extreme."



The dollar strength was at odds with Trump's stated goal of building up the American manufacturing base, because a strong dollar makes exports more expensive for foreign buyers.

Other developments since then, such as a politically unpopular effort to ban travellers from seven Muslim-majority countries, as well as a series of tweets from Trump have also appeared to weigh on the greenback.



Those comments put the kibosh on the strong dollar trade. But analysts don't expect the dollar weakness to last.