The US Dollar Has Declined after Fed Meeting

The US dollar fell against a basket of major currencies after the Fed meeting. So, the regulator kept interest rates unchanged at 1.75% and gave a signal that it is likely to remain unchanged until the end of 2020. At the same time, it is expected that moderate economic growth and low unemployment rate will continue until the next year’s presidential election. The dollar index (#DX) closed yesterday in the red zone (0.34%). Today, investors expect the ECB interest rate decision.

The British pound strengthened against the US dollar. Today, early parliamentary elections are held in the UK. Prime Minister Boris Johnson has decided to hold an election, as he hopes that the new parliament will support his Brexit deal.

The “black gold” prices are consolidating. At the moment, futures for the WTI crude oil are testing the $59.00 mark per barrel.

Market Indicators

Yesterday, there was the bullish sentiment in the US stock market: #SPY (+0.28%), #DIA (+0.09%), #QQQ (+0.53%).

The 10year US government bonds yield has decreased slightly. At the moment, the indicator is at the level of 1.801.81%.

• ECB interest rate decision at 14:45 (GMT+2:00);
• Producer price index in the US at 15:30 (GMT+2:00).

We also recommend paying attention to the parliamentary elections in the UK.

by JustMarkets, 2019.12.12