State of the market: investors are in no hurry to get out of safe assets

On Friday, one can observe a restrained dynamics, which is due to the persistence of pessimistic sentiment in the market. The negative closing of stock exchanges in the US caused another wave of flight from risks and increased concerns about world indices. As a result, the US currency has moved away from recent highs and is traded in the corrective phase.

Due to the continuing concerns, the Japanese currency enjoys popularity, which, despite the correction, maintains an upward trend. Also, the fundamental factors of the weakness of the US currency can resume pressure on the US dollar. And, as a consequence, further strengthening of the American might be difficult.

The dynamics of the US dollar index, despite the fact that it is traded near the February highs, remains limited to general and global downward trend. It is also worth noting that the index itself remains in a significant overbought. As a result, the formation of a flat is possible.

Graph of the US dollar index. The current price is 90.00.

Hanzenko Anton