Trade Tension Has Resumed Again. The Dollar Index Keeps Annual Highs

The US currency is under pressure due to political tension. At the weekend, there were negotiations between the US and China, which did not bring any results. Members of the EU, in turn, are dissatisfied with the introduction of duties on imports of steel and aluminum by the US. The British Prime Minister Theresa May considers such a decision to be unfair and unjustified. The US dollar index (#DX) closed the trading session with a slight decrease (-0,16%).

Yesterday positive statistics were published from the UK. In May, the index of economic activity in the construction sector rose to 52.5, while experts expected the value of 52.0. The Reserve Bank of Australia, as expected, kept the key interest rate at the previous level of 1.50%. Today, investors took a wait-and-see attitude before the publication of important economic data from the UK and the US.

The "black gold" prices are moderately rising. At the moment, futures for the WTI crude oil are testing a mark of $65.00 per barrel. At 23:30 (GMT+3:00), a report on weekly crude oil stock according to the American Petroleum Institute will be published.

Market Indicators

Yesterday, the bullish sentiment was observed in the US stock market: #SPY (+0.48%), #DIA (+0.75%), #QQQ (+0.90%).

At the moment, the US 10-year government bonds yield is at the level of 2.92-2.93%.

The news feed on 2018.06.05:

- The index of economic activity in the services sector of the UK at 11:30 (GMT+3:00);
- The index of economic activity in the non-manufacturing sector of the US at 17:00 (GMT+3:00);
- JOLTS job openings at 17:00 (GMT+3:00).

by JustMarkets, 2018.06.05

We advise you to get acquainted with the daily forecasts for the major currency pairs.

This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.

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