Analysis of the American session

Monday’s US trading session closed with another collapse of the US dollar against a basket of competitors. The reason for the decline of the American dollar throughout the market sector was the statement of the representative of the US Federal Reserve Bullard, who confirmed the possibility of lowering interest rates in the United States in terms of trade and inflation risks, thereby increasing the likelihood of lowering interest rates at the next meetings of the US Federal Reserve. Also, the pressure on the American dollar continued to exert the risks of a trade war that is intensifying.

The US dollar index on the basis of trading on Monday came close to the lows of May at 97.00-10, which confirmed the downward trend of the American dollar, but retained significant oversold. In this situation, a further decline in the dollar is possible on the data on easing rates in the United States.

Fig. The US dollar index chart. The current price is 97.10 (10-year US government bonds yield is the blue line)

Read also: “ZIGZAG – not simple properties of a simple indicator”

Andre Green

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