Financial Market Participants Expect Trump’s Speech

The US dollar does not change a lot against a basket of currency majors. The dollar index (#DX) closed yesterday’s trading session in the red zone (0.17%). Investors expect news regarding ChinaUS trade relations. It should be recalled that US President Donald Trump first said that the negotiations were “going well,” and then said that it was still unknown whether the United States would cancel tariffs for China. Trump’s trade adviser Peter Navarro also said that canceling tariffs was not part of the “phase one” agreement. Investors expect Trump’s speech at a meeting of the Economic Club of New York.

The situation in Hong Kong, where massive protests have been continuing for more than five months, is in the focus of attention. Hong Kong police have started using military weapons and tear gas against demonstrators. Protesters have started blocking roads and metro lines. These events support the demand for safehaven currencies.

The British pound has been growing against the US currency. On the eve of the December 12 elections, the position of Prime Minister Boris Johnson was improved, as Brexit Party leader Nigel Farage announced that he and his party would not run in seats won by conservatives in 2017. Instead, he intends to focus on not allowing officials who argued against Brexit to gain a majority in parliament.

The “black gold” prices have been growing. Currently, futures for the WTI crude oil are testing the $57.05 mark per barrel.

Market Indicators

Yesterday, there was a variety of trends in the US stock markets: #SPY (0.19%), #DIA (+0.03%), #QQQ (0.13%).

The 10year US government bonds yield is at the level of 1.931.94%.

• Data on the labor market in the UK at 11:30 (GMT+2:00);
• German ZEW economic sentiment index at 12:00 (GMT+2:00).

We also recommend paying attention to the speech by US President Donald Trump and FOMC representatives.

by JustMarkets, 2019.11.12