|Day's Range||95.84 - 96.36|
|52 Week Range||95.84 - 98.67|
The US stock indices closed the last session with a decrease: NASDAQ was down by 0.32%, the S&P500; by 0.17%, and Dow Jones managed to add only 0.03%.
Tuesday’s speeches by Fed chair Jerome Powell as well as James Bullard, the noted dove on the FOMC, could serve as catalysts for more Dollar downside over the near-term.
Amidst a precariously framed U.S.-Iran confrontation backdrop, Brent crude closed lower overnight as traders lessened their odds for an immediate US-Iran escalation in this forever smouldering hot spot.
Based on the early price action, the direction of the September U.S. Dollar Index on Tuesday is likely to be determined by trader reaction to Monday’s close at 95.487. If the Euro posts a reversal top then look for the index to post a reversal bottom.
Negative comments ahead of trade talks and rhetoric from Iran in response to the prospect of sanctions dampen the mood ahead of the European open.
Trump called the Fed as a “Stubborn Child”. Today, the Crude prices slipped around 1% over demand concerns boiled out of escalating US-Iran tensions. The April Japanese Leading Economic Index reported higher than market hopes.
EURUSD continues rising. On Monday, June 24th, the instrument is mostly trading close to 1.1376. Market players aren’t as active as usual, but it may change in a moment.
A tentative start to the week as the market feels uncertain about what narrative it should run with. A considerable volume of ink was spilt on Sunday regarding Iran, the dovish FOMC remains ingrained on the market’s mind, while the G-20 looms. And for oil traders, there’s that not so delicate oil balancing act coming out of the OPEC meeting that remains a concern.
Based on the early price action, the direction of the September U.S. Dollar Index the rest of the session is likely to be determined by trader reaction to the uptrending Gann angle at 95.743.
It’s a mixed start to the day as the markets look to gauge what’s next for Iran. Any retaliation to new sanctions will need to be looked out for…
Based on Friday’s price action and the close at 95.718, the direction of the September U.S. Dollar Index on Monday is likely to be determined by trader reaction to the main Fibonacci level at 95.849.
Wednesday’s Fed rate cut hints on “an accommodative” stance continued to weigh over the Index. German June Markit Manufacturing PMI reported above estimates. The USD/CAD pair was showing some slight recovery movements throughout the day.
Well, first of all wars are usually good for stocks (in the mid and long-term) and shares are currently driven by the Central Banks policies, not by the news from the gulf.
The Federal Reserve announced they were leaving rates unchanged on Wednesday, June 19. The markets were expecting this or a quarter percent price decrease. Initially, the markets reacted to the news by moving to the downside recently. It is very likely that the US dollar will move lower an attempt to retest support near 96.50. A weakening US dollar will help to support the US stock market and precious metals prices. Additionally, a weaker US dollar will help support trade, economic growth, employment, and GDP output.
Based on the early price action and the current price at 96.190, the direction of the September U.S. Dollar Index is likely to be determined by trader reaction to the main 50% level at 96.205.
The FOMC statement was more dovish than expected but the signals remain mixed, there might be a rate cut but maybe not if trade relations improve.
A collective sigh of relief has roared across financial markets after the Federal Reserve confirmed market expectations of the probability that interest rates in the United States will likely be cut over the coming months.
Asian currencies should enjoy some relief over the near-term as the prospects of a Fed rate cut are now firmly entrenched in the markets, which is weakening support for the US Dollar.
Will the BoE continue to talk of the need to hike rates at an aggressive pace or has the economic data and shift in policy elsewhere caused a reevaluation…
Based on the early price action, the direction of the September U.S. Dollar Index on Wednesday is likely to be determined by trader reaction to the downtrending Gann angle at 97.120. The dollar index could weaken if the Fed comes across as excessively dovish. This means it signals rate cuts in July, September and December. Skipping the July rate cut could be read as hawkish and this could drive the dollar higher against a basket of currencies.
Stocks edged up as investors reacted to the Federal Reserve’s latest monetary policy decision to keep benchmark interest rates unchanged.
The German PPI reported -0.1% over 0.2% forecast, lowering investor interest. Following some astounding reports, the GBP/USD pair skyrocketed 0.73% touching 1.2636 marks.