Analysis of the past day

On Thursday, optimism increased significantly on the market, which supported the stock indices of Europe and America. Commodity currencies strengthened, while classic safe haven currencies were under the pressure against the background of lowering the risks of a trade war. The reason for the growth of optimism was the announcement of China about its intentions to resolve trade disputes.

Stock indices responded first to the growth of optimism, showing significant growth at the European session. (Nikkei 225 -0.09; DAX +0.90; FTSE 100 + 0.80; Dow 30 + 0.80)

The US dollar index updated the high at 98.40 on the growth of optimism and increase in the US government bonds yield. But statements by ECB representatives about the low likelihood of introducing new stimulus measures in the eurozone economy put the pressure on the American dollar due to the strengthening of the euro. As a result, the US dollar index moved to a correction, but retained an upward trend. Support levels are: 98.20-10, Resistance levels are: 98.40-50.

Fig. The US dollar index chart. Current price – 98.30 (10-year US government bonds yield – blue line)

Hanzenko Anton