The US Currency Is Consolidating

The US dollar is consolidating against a basket of major currencies. The US dollar index (#DX) closed the trading session in the negative zone (-0.47%). The US currency is under pressure due to yet another decrease in the 10-year US government bonds yield. The inversion of the US government bond yield curve has strengthened concern over the recession again.

Positive economic data released yesterday supported the US dollar. Thus, the CB consumer confidence index counted to 135.1 in August, although experts expected 129.5.

Investors are still concerned about tense trade relations between the US and China. It should be recalled that Donald Trump said that representatives of China called Washington several times intending to continue trade negotiations. However, the editor of the Global Times, Hu Xijin, said that the calls were just a technical formality and did not carry the significance attached to them by the US President.

The "black gold" prices are rising. Currently, futures for the WTI crude oil are testing the $55.75 mark per barrel. At 17:30 (GMT+3:00), the US crude oil inventories will be published.

Market Indicators

Yesterday, the bullish sentiment was observed in the US stock markets: #SPY (-0.39%), #DIA (-0.50%), #QQQ (-0.21%).

The 10-year US government bonds yield has updated local lows again. At the moment, the indicator is at the level of 1.47-1.48%.

The News Feed on 2019.08.28:

Today, the publication of important economic news is not expected. Investors expect signals regarding the escalation of the trade war between the US and China.

by JustForex, 2019.08.28

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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