The main market’s drivers

Trading on the European session on Thursday is very restrained, despite the preservation of negative sentiment on the stock markets and the decline in the cost of raw materials. The US dollar index remains under the pressure against the basket of major competitors against the background of renewed pessimism.

The US dollar index  from the start of the day updated a low at the level of 96.70, fully adjusted against yesterday’s growth on the American session. At the same time, the upward trend for the American dollar of the last week remains. It is worth noting that the growth of pessimism has a direct pressure on the dollar. In the case of maintaining negative sentiment in the stock markets of America the dollar index can break the upward trend of recent days. The US stock indexes can open lower given the dynamics of stock indexes in Europe and the preservation of geopolitical risks.

The US dollar index chart. The current price is 96.70 (10-year government bonds  yield is the blue line)

Read also: “Black Swan on FOREX – Stay on the boat”

Andre Green

Earn with the help of the trade service on the news Erste News!

Topical articles of the trader’s blog:

1. Happy New Year! Summing up the past year.
2. The S&P 500 index as a market sentiment index!
3. Expectations from the USD/CAD pair at the end of the year!

Current Investment ideas:

1. “Earn big money on the shares of the largest US bank!”