The US Dollar Is Declining

During yesterday’s trading session, the US currency weakened against the basket of currency majors. The US dollar index (#DX) closed in the negative zone (0.49%). Investors continue to assess the risks of a trade war. Today, trading activity and volatility can be reduced, as the US financial markets are closed due to the holiday. Investors took a waitandsee attitude before the publication of the FOMC protocols on Thursday, July 5. This report may indicate further pace of the key interest rate rise by the Fed.

The euro strengthened against the reduction in political risks in Germany. Angela Merkel reached agreements on the migration issue with representatives of the government coalition. The British pound rose against the US dollar after the publication of the index of economic activity in the construction sector in June, which counted to 53.1 and was better than the expected value of 52.5.

The “black gold” prices show a positive dynamics. At the moment, futures for the WTI crude oil are testing a mark of $74.30 per barrel.

Market Indicators

Yesterday, the bearish sentiment was observed in the US stock market: #SPY (0.35%), #DIA (0.44%), #QQQ (1.16%).

At the moment, the 10year US government bonds yield is at the level of 2.832.84%.

The index of economic activity in the UK services sector at 11:30 (GMT+3:00).

by JustMarkets, 2018.07.04