The main market drivers

Trading on Monday, after attempts the US dollar to correct at the beginning of the day, returned to the mood of Friday last week. The positive dynamics of the stock markets of Europe and America indicates the continued optimism in the market, which ultimately puts pressure on the dollar. But it is also worth noting that there are as yet no results of the US and China negotiations on the trade confrontation. As a result, some uncertainty will remain in the market.

The main driver of the decline in the US dollar index is the decline in US government bond yields, which is also due to the growth of stock indices on the narrowing of risks. The main support for the dollar index continues to be the level of 96.00, which is a psychology and a significant technical level.

The US dollar index chart. The current price is 96.10 ( 10-year government bonds yield is a blue line)

Read also: “Cross-rates charecteristics”

Andre Green

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

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