State of the market: the dollar is growing on the optimism decline

Stock indices in the Asia-Pacific region opened with a slight decrease at the trades on Tuesday. A technical correction after growth and the expectation of the resumption of normal trading activity after a day-off in the US and Canada was the reason. In addition to the correction, risks in Europe and trade risks, which weakened, but still persist,  resumed the pressure on the indices.

At the start of the day, an RBA meeting was held, the results of which kept the key interest rate at 1%. But the RBA leadership noted the possibility of stimulating the Australian economy, if necessary, while retaining the possibility of interest rates cuts in the face of a further aggravation of risks and a slowdown in the global economy.

The US dollar index has accelerated the growth from the start of the day against a basket of competitors, updating the high at 99.30. However, it remained limited overbought and reduced optimism on stock exchanges. This may indicate attempts of correction to the support levels: 99.20 and 99.00. Resistance comes in levels: 99.40 and 99.60.

Read also: “What does British pound wait for with a new prime minister”

Hanzenko Anton

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

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