Conflict Between the US and Turkey Is Still in the Spotlight

The US currency slightly weakened against the basket of major currencies. The US dollar index (#DX) closed in the negative zone (0.06%) yesterday. However, demand for the US dollar is at a high level. Political tension between Turkey and the US continues to put pressure on the Turkish lira. These events caused a decline in the currencies of developing countries.

Today, during the Asian trading session, data on the volume of industrial production in China have been published. In July, the indicator increased by 6.0% and was worse than the forecasted value of 6.3%. Germany published preliminary data on GDP. In the second quarter, the country’s economy grew by 0.5%, which was higher than market expectations of 0.4%. Today, we recommend paying attention to the news feed of the UK and the Eurozone.

The “black gold” prices show positive dynamics. At the moment, futures for the WTI crude oil are testing a mark of $67.65 per barrel. At 23:30 (GMT+3:00) data on the API weekly crude oil stock will be published.

Market Indicators

Yesterday, the bearish sentiment was observed in the US stock market: #SPY (0.37%), #DIA (0.50%), #QQQ (0.11%).

At the moment, the 10year US government bonds yield is at the level of 2.88%2.89%.

Reports on the UK labor market at 11:30 (GMT+3:00);German ZEW economic sentiment at 12:00 (GMT+3:00).

by JustMarkets, 2018.08.14