The Dollar Index Has Been Growing

Yesterday, trading on currency majors was fairly calm. Weak trading activity and volatility were observed in the market. The financial markets of the US and Canada were closed due to the holidays. The pound was under pressure because of weak economic reports. In August, the index of economic activity in the UK manufacturing sector fell to 52.8 (two-year minimum). Market expectations were at the level of 53.9. Today, the dollar index (#DX) has been growing.

During the Asian trading session, the Reserve Bank of Australia, as expected, has kept the key interest rate at the previous level of 1.50%. Financial market participants expect important statistics from the UK and the US. Demand for the American currency is at a fairly high level. We recommend monitoring the current information regarding Brexit, as well as the trade conflict between the US and China.

The bullish sentiment prevails in the market of "black gold". At the moment, futures for the WTI crude oil are testing a mark of $70.25 per barrel.

Market Indicators

On Friday, the major US stock indices showed mixed results: #SPY (0.00%), #DIA (-0.06%), #QQQ (+0.13%).

At the moment, the 10-year US government bonds yield is at the level of 2.87-2.88%.

The news feed on 04.09.2018:

- The index of economic activity in the UK construction sector at 11:30 (GMT+3:00);
- The Bank of England inflation report hearings at 15:15 (GMT+3:00);
- The index of economic activity in the US manufacturing sector from ISM at 17:00 (GMT+3:00).

by JustForex, 2018.09.04

We advise you to get acquainted with the daily forecasts for the major currency pairs.

This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.

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