Analysis of the past day

On Thursday, March 1, the US dollar strengthened against its main competitors in maintaining optimism for the American after the optimistic comments of the US Federal Reserve Chairman on Tuesday. At the same time, today’s speech by Powell did not have a positive impact on the dynamics of the US currency, which was caused by the absence of specific comments on the increase in rates in the United States. As a result, the US currency renewed the maximum of February against its competitors, but did not receive fundamental support for holding the position.

Stock exchanges throughout the day traded in different directions due to the fears and negative closure of Wall Street. At the beginning of the day, the stock indices received a little support from positive data on business activity in China, but the optimism faded to the European session (Nikkei 225 -1.56, DAX -1.90, FTSE 100 -0.85, Dow 30 +0 , 05). In the context of a decline in demand for the American currency, support was given to commodity assets, which had a positive effect on commodity currencies.

In the absence of new drivers to growth from the US currency, one should expect a restrained correction, since nothing new has been heard in Powell’s speech, including negative.

Graph of the US dollar index. The current price is 90.80.

Hanzenko Anton