What will happen? US consumer confidence will be announced at 5:00 MT (GMT+3) on Tuesday, July 27…
Evergreen buck is nearly 10-week peak
On Tuesday, the American dollar rallied to a 10-week peak versus a currency basket because escalating trade clashes drove fears of a deceleration in global economic surge, powering safe haven demand.
Tracking the evergreen buck’s purchasing potential against a number of its main opponents the USD index gained 0.13% being worth 96.47.
Demand for the US currency was still backed after Bloomberg told that the current US presidential administration is ready to slap duties on all China’s products by early December if negotiations next month don’t manage to soothe the trade clash between America and China.
Chinese President Xi Jinping and American leader Donald Trump are expected to meet during the G20 Summit in Argentina late next month.
The escalation in the trade conflict shows up against the backdrop of fears over a dismal earnings outlook for tech companies as well as the tempo of American interest rate hikes.
Japan’s currency, normally considered to be a safe haven in hard times, dived versus the green back. The currency pair USD/JPY rallied by 0.4% being worth 112.82 ahead of the Bank of Japan’s monetary policy verdict on Wednesday.
The common currency nearly stood still against the evergreen buck. Eventually, the currency pair EUR/USD showed 1.1366, which is not far from Friday’s 10-week minimum of 1.1335.
The euro has been suppressed by soaring political risk in the euro zone.
On Monday, Angela Merkel, German Chancellor told that she’s geared up to stepping down as party leader and also as the country’s chancellor because of the weekend’s dismal regional election outcomes.
An everlasting clash between Italy and Brussels over Rome’s budget has also put pressure on the common currency.
Furthermore, the UK pound was a bit lower. The currency pair GBP/USD lost about 0.11% trading at 1.2778.
The OPEC meeting and the US Nonfarm Payrolls rocked the market last week. The market is torn between optimism about the global economic recovery and concerns about the new coronavirus strains.
All eyes are turning to the Federal Reserve and the US dollar. How to trade XAU/USD, EUR/USD, and GBP/USD?
This week Apple, Microsoft, Google, Facebook, Pfizer, and other large US companies will deliver earnings reports…
The overall market sentiment is risk-on. The S&P 500 index (US 500) is getting close to the all-time high. Oil is recovering quickly from its recent losses.
What will happen? The FOMC statement will be published at 21:00 MT (GMT+3) on Wednesday, July 28…