The US dollar Has Moved away from Local Extremes. The Demand Is Still High

Yesterday, the major currency pairs showed a variety of trends. Weak statistics on the US real estate market put pressure on the US currency. In September, the number of permits issued and the volume of construction of new homes decreased by 4.5% and 4.7% respectively. At the same time, the decline was limited by the positive dynamics of US government bonds. At the moment, the majors are consolidating.

Today in the Asian trading session important economic reports from Australia and China were published. The Australian Bureau of Statistics reported that in September the increase in the number of employed was 19800, which is higher than the forecasted value of 15,000. The unemployment rate decreased from 5.6% to 5.5%. China’s GDP growth in the third quarter slowed from 6.9% to 6.8% (year on year). Last month, the volume of industrial production grew by 6.6% (year on year). Market expectations were at the level of 6.2%.

At the moment, the “black gold” prices are in a sideways trend. Futures for the WTI crude oil are being traded in the range of $51.90$52.10 per barrel.

Market Indicators

The main US stock indexes set a new record once again. Yesterday #SPY (SPDR S&P 500 ETF) closed at $255.72 (+0.10%).

At the moment, the 10year US government bonds yield is consolidating. The indicator is at the level of 2.332.34%.

The dollar index (#DX) closed the trading session with a slight decrease (0.05%).

A report on retail sales in the UK at 11:30 (GMT+3:00);The index of production activity from the Federal Reserve Bank of Philadelphia at 15:30 (GMT+3:00).

We also recommend you to pay attention to the speeches of the FOMC representatives.

by JustMarkets, 2017.10.19