The Dollar Index Has Recovered Some of the Losses

On Friday, the US dollar strengthened against the basket of major currencies. The US dollar index (#DX) closed in the positive zone (+0.33%). Demand for the American currency is still high. This week investors expect the Fed meeting, which will be held on September 2526. Financial market participants believe that the regulator will raise the key interest rate by 25 basis points to 2.00%2.25% per annum.

The British pound weakened significantly against the US dollar on Friday after Theresa May stated that Brexit negotiations were at an impasse. According to the Prime Minister, the EU rejected any proposals of the UK without suggesting alternatives.

On Friday, economic data were also published. Thus, the index of economic activity in the German manufacturing sector fell to 53.7 in September, while experts expected 55.7. The core retail sales index in Canada rose to 0.9% in August instead of 0.6%.

The “black gold” prices show positive dynamics. At the moment, futures for the WTI crude oil are testing a mark of $72.00 per barrel.

Market Indicators

On Friday, there was a variety of trends in the US stock market: #SPY (0.54%), #DIA (+0.03%), #QQQ (0.55%).

At the moment, the 10year US government bonds yield is at the level of 3.073.08%.

German Ifo business climate index at 11:00 (GMT+3:00).

We also recommend paying attention to the speech by the ECB president Draghi.

by JustMarkets, 2018.09.24