The US Dollar Is Growing Amid COVID-19 Concerns

The US currency has been growing relative to a basket of currency majors amid falling stock markets. Traders have started buying safe assets due to renewed fears over COVID-19. Investors are concerned that an increase in COVID-19 cases in Europe and a downturn in enthusiasm for new stimulus in the US against the election race could impede global economic recovery from the coronavirus pandemic. The US dollar index (#DX) closed in the red zone (+0.79%) yesterday.

Today, speech by the head of the Fed Chairman Jerome Powell, which will take place today on the Capitol Hill, is in the spotlight. The official will talk about a number of emergency measures that the regulator has taken to help the US economy after the coronavirus epidemic. Secretary of the Treasury Steven Mnuchin will also give a speech.

The "black gold" prices are consolidating. At the moment, futures for the WTI crude oil are testing the $40.15 mark per barrel. At 23:30 (GMT+3:00), API weekly crude stock will be published.

Market indicators

Yesterday, there was a variety of trends in the US stock market: #SPY (-1.11%), #DIA (-1.84%), #QQQ (+0.24%).

The 10-year US government bonds yield is consolidating. The indicator has reached 0.67-0.68%.

The news feed for 2020.09.22:
  • - Existing home sales in the US at 17:00 (GMT+3:00).

We also recommend paying attention to the speeches by the heads of the Fed, the Bank of England and the ECB representatives.

by Justforex, 2020.09.22

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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