Investors Are Waiting for Additional Drivers

Last week, the US dollar weakened against the majors. The dollar index (#DX) completed the trading session in the negative zone. On Friday, October 13, the attention was focused on reports on inflation and retail sales in the US. The statistics turned out to be ambiguous. In September, the base consumer price index increased by 0.1%, which is less than the forecasted value of 0.2%. At the same time, the base retail sales index grew by 1.0%. Market expectations were at 0.3%. The probability of tightening the Fed's monetary policy in December this year is still at a fairly high level (81.7%).

At the moment, there is an ambiguous technical pattern on main currency pairs. Participants of the financial markets expect additional drivers. The current trading week will be full of important economic reports. We also recommend following the dynamics of the US government bonds yield.

In the oil market, bullish sentiments continue to prevail. At the moment, futures for the WTI crude oil are being traded near $52 per barrel.

Market Indicators

On Friday, the major US stock indices closed in the positive zone: #SPY (+0.12%), #DIA (+0.18%), #QQQ (0.39%).

At the moment, the 10-year US government bonds yield is in the range of 2.28-2.30%.

News background on the 2017.10.16:

- The balance of trade of the Eurozone at 12:00 (GMT+3:00);
- The NY Empire State index of manufacturing activity at 15:30 (GMT+3:00).

by JustForex, 2017.10.16

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.