The American remains under pressure

With the multidirectional opening of the US stock indices, the US dollar keeps a downward trend against its main competitors. The reason for the sale of the American is the decrease in the likelihood of a rate hike in the US and the continued negative sentiment about the American.

Also on the market there is an increase in negative sentiments associated with a noticeable overbought of the state US bonds. So, the 10-year-old state US bonds are traded slightly below the opening of the day (-0.25%), but they remain near the four-year highs, thus indicating the limited support for the US currency.

Fig. 10-year old US bonds. The current price is 2.840.

Also, the market begins to adjust its positions ahead of tomorrow’s inflation data in the US, which, despite the restrained forecasts, could have a significant impact on the market. At the same time, the downward dynamics of the US dollar is limited to weekly lows at the levels: 89.40 and 89.20.

Graph of the US dollar index. The current price is 89.50.

Hanzenko Anton