The Growth of the US Dollar Has Been Resumed

Last week, the US dollar strengthened against the basket of world currencies. The dollar index (#DX) increased by more than 1%. The Fed’s Chairman Janet Yellen said that a gradual increase in interest rates would be appropriate, despite weak inflation in the country. At the same time, some representatives of the FOMC took a cautious attitude on this issue. At the moment, the probability of tightening the Fed’s monetary policy in December this year rose to 81.7%.

Today, in the Asian trading session, the US dollar continued to strengthen against the majors. The euro is under pressure due to the referendum in Catalonia. At the moment, the main currency pairs are testing local extremes. Japan published mixed economic reports from Tankan.

In the current trading week, the attention of financial market participants will be focused on the report on the labor market in the US and speeches of the FOMC representatives. At the moment, most experts expect a deterioration in the key indicators. This is due to the aftermath of hurricanes “Harvey” and “Irma”.

The “black gold” prices continue to consolidate. At the moment, futures for the WTI crude oil are being traded in the range of $51.4- $ 51.6 per barrel.

Market Indicators

The main US stock indices are near historical highs. On Friday, #SPY (SPDR S&P 500 ETF) closed at $251.23 (+0.35%).

The 10-year US government bonds yield shows positive dynamics. At the moment the indicator is at the level of 2.35-2.36%.

China’s financial markets will be closed due to the holiday.