The US dollar is trying to maintain its strength against some major currencies that have been achieved since the beginning of the week.
The US Dollar Index (DXY) has risen to 89.79 as the news was written in mid-Asian session this Wednesday (21 / February), from a low of 88.25 hit on 16 February. However, some analysts rate the US Dollar rebound ahead of the release of this FOMC Notes merely short-covering, alias closing the Sell position only.
The dollar rose three consecutive days against the Japanese Yen, from a 15-month low hit on Friday. The USD / JPY currency pair has reached + 0.37% since today's trading opening to the level of 107.71. However, this strengthening is seen as merely re-positioning the trading position, because the weakening of the US Dollar in some time before is considered too excessive.
Investors are also looking forward to the publication of the minutes of the FOMC Meeting Minutes on Thursday (02:00 GMT). Horchani estimates, if there is a hawkish tone in the minutes, then it could make the market expect a rate hike rate faster and help the Dollar go up further.
In addition, investors will monitor US government bond auctions this week to gauge market interest in valuable US assets. The $ 35 Billion 5-Year Treasury Bonds will be auctioned on Wednesday, while the $ 29 Billion 7-Year Treasury Bond will be auctioned on Thursday.
The US dollar has weakened against the yen and other major currencies in recent months, due to a number of crucial factors. Among them, there is concern that the swelling of the state budget deficit under the administration of President Donald Trump will plunge the US economy. The deficit increase calls for the US government to issue more bonds, so the response to this bond auction could alleviate and provide a new platform for market concerns.
CALENDAR ECONOMY
Use Low Risk Management
Happy Trading All
follow me @rizalfa
upvote me @rizalfa
Thanks All
Powee tok...
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Congratulations! This post has been upvoted from the communal account, @minnowsupport, by rizalfa from the Minnow Support Project. It's a witness project run by aggroed, ausbitbank, teamsteem, theprophet0, someguy123, neoxian, followbtcnews, and netuoso. The goal is to help Steemit grow by supporting Minnows. Please find us at the Peace, Abundance, and Liberty Network (PALnet) Discord Channel. It's a completely public and open space to all members of the Steemit community who voluntarily choose to be there.
If you would like to delegate to the Minnow Support Project you can do so by clicking on the following links: 50SP, 100SP, 250SP, 500SP, 1000SP, 5000SP.
Be sure to leave at least 50SP undelegated on your account.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit