State of the market: US dollar remains optimistic at lower trade tension
On the trading on Thursday, the US currency continues to trade with a strengthening against the basket of major competitors. The reason for the growth of the American dollar, which was traced on Wednesday, was the ambiguous statement by Washington regarding the restriction of Chinese investment. Thus, the Trump administration stated that it would rely on existing laws in the trade confrontation against China. This statement was regarded by the market as a easing of tension between the US and China, as it may indicate the termination of application of the response fees. On the other hand, the existing restrictions from the US side towards China remain very significant.
The US dollar index against the basket of major competitors is trading with the strengthening, limiting the highs this month at 95.50-60. At the same time, correction is posiible in the terms of the upcoming news and overbought American dollar.
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Hanzenko Anton