Market conditions: negative sentiments are increasing in the market

The market shows a significant increase in pessimistic sentiments with the opening of trading on Monday. In addition to the disappointing speech by the US Federal Reserve Chairman Powell, who caused the collapse of the US currency, the risks of a trade war sharply intensified on the market after China announced retaliatory duties. The White House has criticized sharply the Fed’s policies and actions of China. As a result, pessimistic sentiments continue to grow in the market and the investors flight  from risks is traced.

The US dollar index opened the week with restrained attempts of correction after the collapse, remaining under the pressure from Friday’s speech by Powell and the aggravated risks of a trade war. The US dollar index found a support at 97.50, from which we can expect a moderate correction against Friday. The limiting factor is the risks of exacerbation of trade tension and resistance levels: 97.80 and 98.00.

Read also: “Gold in the light of current events.
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Hanzenko Anton

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

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