Analysis of the past day

Trading in the foreign exchange market took place in different directions in major currencies on Monday. The reason for the ambiguous movement in the market was the resumption of optimism in the stock markets and the lack of consensus on the US dollar. As a result, safe havon assets came under pressure from the growth of optimism, and the US dollar strengthened cautiously on the political risks in Germany, which became aggravated by rumors that Angela Merkel would not run for the post of German chancellor in 2021.

At the end of the day, the stock exchanges strengthened noticeably on all trading platforms on the general increase in optimism (Nikkei 225-0.169; DAX +1.90; FTSE 100 +1.70; Dow 30 +1.10). General risk factors will remain as well as downward dynamics despite a marked increase in optimism in the market.

The dollar index closes the day with restrained growth at the end of the day, playing back some of the positions lost on Friday. Optimistic data on the United States and the possibility of political risks in Germany served as the reasons for the growth of the American dollar. At the same time, the dollar index was able to maintain an uptrend at a break from support levels: 96.50 and 96.30.

The US dollar index chart. The current price is 96.60 (10-year government bonds yield is the blue line)

Hanzenko Anton