Mutual Cancellation of China-US Tariffs Is Open to Question

Last week, the US dollar strengthened significantly against a basket of world currencies. The dollar index (#DX) closed in the green zone. At the moment, the greenback is moving away from local highs. The US currency is under pressure due to statements by US President Donald Trump that he does not intend to cancel tariffs for China so far. It should be recalled that according to reports by Chinese and American officials, the parties agreed on the mutual cancellation of the earlier imposed tariffs. However, after the statements by US President, it is not clear whether the parties can agree and conclude an agreement. According to Trump, no final decision has been made. Tomorrow, the President of the United States will speak at the Economic Club of New York and is likely to put a little more clarity.

Investors will also follow important economic data from the UK and the US this week. On Wednesday and Thursday, November 13-14, Fed Chairman Powell will speak. Financial market participants expect the head of the Fed to announce once again that no further monetary easing is planned.

The "black gold" prices are declining. At the moment, futures for the WTI crude oil are testing the $56.50 mark per barrel.

Market Indicators

On Friday, there was the bullish sentiment in the US stock markets: #SPY (+0.25%), #DIA (+0.01%), #QQQ (+0.40%).

The 10-year US government bonds yield has updated local highs. At the moment, the indicator is at the level of 1.93-1.94%.

The Economic News Feed for 11.11.2019:
  • - GDP data in the UK at 11:30 (GMT+2:00);
  • - Manufacturing production in the UK at 11:30 (GMT+2:00).

by JustForex, 2019.11.11

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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