EUR/USD 1.18401
-0.125%
Gold 4928.60
1.038%
Oil 62.392
0.323%
USD/JPY 153.591
0.198%
GBP/USD 1.35510
-0.117%
GBP/JPY 208.134
0.088%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
On February 18th, the U.S. Southern Command announced on social media on February 17th that U.S. forces attacked three alleged drug-trafficking ships in the Eastern Pacific and Caribbean on the evening of February 16th, killing 11 people on board. Since early September of last year, the U.S. military has frequently attacked alleged drug-trafficking ships in the Caribbean and Eastern Pacific. However, the U.S. government has not released any evidence to prove that its targets were involved in drug trafficking.According to data from Maoyan Professional Edition, the movie "Pegasus 3" grossed over 800 million yuan in just two days after its release.Gold prices rose on Wednesday, February 18th, according to foreign media reports, supported by bargain hunting, after falling more than 2% the previous day due to progress in negotiations between the US and Iran, while thin trading and pressure from the Lunar New Year holiday in Asia. As of this writing, the price is up nearly 1%. The US dollar is holding steady today as geopolitical risks keep markets tense, with investors awaiting the minutes of the Federal Reserves January meeting for clues about future interest rate cuts. A stronger dollar makes dollar-denominated gold more expensive for holders of other currencies. Market participants still expect an interest rate cut this year, with January jobs data showing significantly fewer new jobs added in 2025 than previously estimated. Federal funds futures traders currently expect a 60 basis point rate cut by the end of the year, pushing the benchmark rate close to 3% and maintaining that level until at least June 2027. Federal Reserve Governor Barr said on Tuesday that the US inflation outlook remains risky, and the Fed may not cut rates again for quite some time. Chicago Federal Reserve President John Goolsby said the Fed could cut interest rates "multiple times" this year if inflation returns to its 2% target.Japanese Prime Minister Sanae Takaichi: I hope to pass the budget and tax reform bill as soon as possible.Japanese Prime Minister Sanae Takaichi: Will consider revising the Japanese Constitution.

The US Dollar Index is trying to regain 109 ahead of US Durable Goods Orders data from Jackson Hole

Alina Haynes

Aug 24, 2022 15:26

截屏2022-08-24 上午10.16.07.png 

 

As traders wait for the day's significant triggers amid a sluggish opening, the US Dollar Index (DXY) continues its rise toward the multi-year high established in July, adding bids to 108.60 in the Asian session on Wednesday.

 

The dollar index dropped from a multi-year high of 109.27 against the six major currencies the day before yesterday. While the present downturn in US data is driving the quote to retreat, the DXY bulls are supported by concerns of an economic slowdown and the US Federal Reserve's (Fed) quick rate hikes.

 

The president of the Minneapolis Fed, Neel Kashkari, was quoted by Reuters as saying that misreading the underlying inflation dynamics is the biggest worry. If the Fed sees inflation creeping closer to their target of 2%, they may slow their rate of rate hikes, according to the official.

 

However, traders in fed funds futures are pricing in a 52.5% chance of a rate hike of 75 basis points (bps) at the upcoming Fed meeting. On Monday, Reuters reported that a rate hike of 50 basis points in September was somewhat more likely than 50 percent.

 

Preliminary readings released on Tuesday by the US S&P Global Manufacturing PMI for August showed a decline to 51.3 from 52.0 expected and 52.2 earlier, while the Services index plunged to 44.1 from 47.3 compared to 49.2 market expectations. As reported by S&P Global, the Composite PMI has fallen to 45, the lowest level in 27 months, signaling a potential crisis for the US economy.

 

In addition, the number of newly constructed homes sold in the United States dropped to 0.511 million in July, down from 0.585 million the previous month and 0.575 million the market had predicted. The US Richmond Fed Manufacturing Index dropped to -8.0 in August from a reading of 0.0 the month before.

 

At press time, US 10-year Treasury rates were lingering at 3.05%, the highest level in a month, despite small advances for the day on Wall Street. S&P 500 Futures have been declining somewhat as of press time, which is notable.

 

DXY volatility may be constrained in the future by the light schedule preceding the North American session. Next, keep an eye on the US Durable Goods Orders for July, which are predicted to rise 0.6% after rising 2.0% in June. As markets try to predict the Fed's next move, Friday's speech by Fed Chairman Jerome Powell at the Jackson Hole conference hosted by the Kansas City Fed will be crucial.

 

DXY bears are threatened by a rising support line that has been in place for two weeks near 108.00, but the buyers won't be convinced until the uptrend is confirmed above 109.30.


Suggestion