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  • #31
    American producer prices gain on services and cars

    11.07.2018

    In June, American producer prices went up more than supposed in the face of jumps in the cost of cars, services, thus provoking the greatest annual soar for 6-1/2 years.

    The Labor Department told on Wednesday that its producer price index for final demand added by 0.3% in June, underpinned by jumps in gasoline prices. Furthermore, in May, the PPI ascended by 0.5%. For the twelve months through June, the PPI managed to soar by about 3.4%, which is the greatest revenue since November 2011. In May, producer prices surged by 3.1% year-on-year.

    Financial analysts surveyed by Reuters had predicted the PPI soaring 0.2% in June and tacking on 3.2% year-on-year.

    A major gauge of producer price pressures, without energy, trade services and food, ascended by 0.3% the previous month. In May, the core PPI rallied by 0.1%.

    The core PPI went up by 2.7% for the 12 months through June having soared 2.6% in May.

    Inflation is slowly soaring due to the fact that a labor market is close to its complete employment.

    In May, the personal consumption expenditures price index without energy, and food that is the Fed’s primary inflation indicator met the major bank’s 2% goal for the first time for six years.

    In June, the cost of services inched up by 0.4% having soared by 0.3% in May. A 21.8% ascend in the index for fuels as well as lubricants retailing amounted to nearly 40% of the soar in the cost of services in June.

    As for the cost of healthcare services, it rallied by 0.2% because a 1% leap in prices for hospital outpatient care compensated minor dives in the cost of doctor visits as well as hospital inpatient care. In May, healthcare prices ascended by 0.1%.

    Comment


    • #32
      #WeeklyCryptoNews

      13.07.2018

      David Supper, the chief operating officer at Blockbid: I believe the hype has just begun. Only 1 % of the world population own cryptocurrency. In recent time, there is more and more news about the involvement of banks and large funds in the stock market, so mass adoption of digital assets will come in the next two years.

      Baiju Bhatt, Robinhood CEO: Sovereign nations will eventually have cryptocurrencies as their default currency. Whether it happens next year or in 15 years.

      Cryptocurrencies

      Bitcoin has tested the support at $6,000. During the whole week, the cryptocurrency has been trying to stick above the psychological level of $6,500. However, all attempts failed. If this support doesn’t make Bitcoin rebound, a trader can anticipate the further fall to $5,500. The daily picture isn’t encouraging for the cryptocurrency. MAs are moving down. However, the position of MAs on the weekly chart gives more hope on the smooth trading. In the longer term, we can anticipate the trading within the horizontal channel at $5,500-6,500.



      According to Chainalysis blockchain startup, users lost an access to Bitcoin tokens in the amount of $20 billion. The main reason is the loss of private keys to wallets by users.
      Chinese hackers infected more than a million computers with a virus of the hidden mining. Suspected people worked for the company that develops plugins for web browsers. For 2 years, they had managed to earn more than $2 million.
      According to McAfee Labs, the volume of hidden mining has increased by 629% for three months.

      Regulation

      The People Bank of China announced that a percentage of deals with the Chinese yuan in the global Bitcoin trading declined from more than 90% to 1%. The reason is the strict regulation. Last year, the Government forbade ICO projects. As a result, a lot of representatives of the industry left the country.
      The tax office of Australia will control citizens who hide their income from cryptocurrency trading in offshores. Australia will use data exchange agreements with other countries. Recently, the office became a member of the alliance that will investigate tax crimes and money laundering with cryptocurrencies.
      A new working party for cryptocurrency investigations will be created in the US.

      Blockchain

      IBM got a grant in $738K from the government of Delaware for a development of the record keeping system for business project based on the blockchain technology. Moreover, the company will help the Australian government to implement blockchain projects.
      The +CityxChange startup will create “intelligent cities” in Europe using IOTA blockchain.

      Just for fun.

      “Buffett’s $10” is a cryptocurrency experiment. Founders of the project invest $10 into cryptocurrencies daily; explain their decision and show results.
      An unknown expert placed a bet of 8,5 million Australian dollars ($6,27 million) on the possibility that the Bitcoin price will surpass $280,000 in 2023.

      Bitcoin $6,238.2 (+0.81%)

      DASH $223.40 (+5.60%)

      Ethereum $437.13 (+1.19%)

      Litecoin $76.786 (+1.41%)

      Comment


      • #33
        Greenback edges down

        16.07.2018

        On Monday, the evergreen buck slumped versus a currency basket, having reported its greatest weekly revenue for a month the previous week because market participants shifted their attention to American retail sales outcomes for June later in the trading session.

        Estimating the evergreen buck’s purchasing potential against a group of six main rivals, the USD index declined 0.15% being worth 94.30. The previous week the index ascended 0.7%, which is its largest weekly percentage leap since mid-June.

        Demand for the evergreen buck was still backed because the risk of an intensifying escalation in trade conflict as well as soft economic data out of China irritated traders.

        Overnight, data disclosed that China’s economy speeded down, which is in line with hopes in the second quarter, showing that the trade conflict with America might be acting as a drag on surge.

        As a matter of fact, Chinese GDP managed to leap at an annual rate of 6.7% for the three months to June, tumbling from 6.8% in the first quarter.

        Additionally, on Monday, China told that it had filed a complaint with the WTO over an American threat to impose 10% duties on $200 billion of China’s imports.

        The move showed up after over the weekend Donald Trump alarmed European leaders by telling that the European block appears to be an enemy considering how it trades with America.

        The common currency ascended to the day’s maximums versus the softer greenback. The currency pair EUR/USD soared 0.2% hitting 1.1709.

        The evergreen buck was nearly intact versus the safe haven yen. The currency pair USD/JPY reached 112.38.

        Market participants were waiting for June retail sales figures from America in the day.

        Aside from that the International Monetary Fund was expected to come up with its fresh World Economic Outlook a bit later on Monday.

        Comment


        • #34
          Daily News: the USD is weak

          17.07.2018

          The US dollar index has been trading below the psychological level of $94.50. Although Monday economic data were positive, the US dollar index was weak. The market is waiting for Mr. Powell’s testifies on Tuesday and Wednesday (17:00 MT time). As the market anticipates two additional rate hikes this year, the speeches of the Fed’s Chairman will make sense for traders. If the Chairman sounds hawkish, the USD will be able to recover, otherwise, it will go further down. Targets are the support at $94, resistances at $94.50 and $95.



          Morgan Stanley forecasts the weaker USD in the third quarter of 2019, the return to the weaker movement will happen in August 2018.

          Forecasts for pairs within the 1 year:

          USD/JPY 88.00 - 101.00.

          EUR/USD 1.18 - 1.30.

          GBP/USD 1.32 - 1.50.

          AUD/USD 0.67 - 0.75.

          ANZ says that the Chinese yuan is undervalued.

          According to ANZ, trade wars tensions were the main reason for the Asian currencies’ weakness. The Bank says that even if trade wars tensions don’t ease in the near future, the Asian currencies weakness may ease soon. However, the Bank adds that although the average fair value of the CNY is $6, the gap in the valuation unlikely will be covered soon.



          Last week USD/CNH was trading near the highs of August 2017 at 6.7250. Up to now, the pair has been going down because of the weak USD. However, according to Morgan Stanley, traders shouldn’t anticipate the soon fall of the pair. Key targets are supports at 6.6780 (the pivot point) and 6.6275, resistances at 6.7250 and 6.7570. The stronger USD will pull the pair up.

          Although the USD is weak, it keeps appreciating against the Japanese yen. USD/JPY is trying to reach the high of the previous week at 112.80. However, the USD needs additional support to move higher. If the USD recovers, the pair will come to the resistance, otherwise, there are risks of the fall. The support lies at90.



          The weaker USD lets other currencies appreciate.

          The pound is rising despite mixed economic data. Average earnings index and unemployment rate data were neutral while claimant count change’s figure was weaker than the forecast.

          GBP/USD rebounded from the pivot point at 1.3235. Up to now, the pair has been moving to the resistance at 1.3280. If the USD is weaker, the pair will be able to break this level, the next resistance will be at 1.3315 (50-day MA). Otherwise, the pair will return to the pivot point at 1.3235 and there will be risks of the fall to 1.31.



          The New Zealand dollar shocked with a great rise. Although the CPI data was weaker than the forecast, NZD/USD surged. The RBNZ measure of core inflation is at the highest level since the second quarter of 2011. As a result, NZD/USD rebounded from the support at 0.6780 (the pivot point) and, up to now, it has been trading near the resistance at 0.6835. The resistance is strong as the trendline puts additional pressure on the pair. If the USD is weaker, NZD buyers can hope on the break of the resistance. The next one will lie at 0.69 (50-day MA). If the NZD doesn’t get additional support, the pair will turn around to the support at 0.6780.



          That’s all for today! Follow market news with FBS!

          Comment


          • #35
            Greenback ascends on Powell’s assessment of American economy

            18.07.2018

            On Wednesday, the evergreen buck managed to jump because Fed Chair Jerome Powell came up with an upbeat assessment of the American economy at his Tuesday’s semi-annual congressional testimony.

            The statesman stressed that the US key financial institution is on the verge of gradually increasing its interest rates.

            Gauging the purchasing power of the major American currency versus a group of its crucial counterparts, the USD index gained 0.13% trading at 95.05.

            The evergreen buck reached a six-month maximum versus the Japanese yen. The currency pair USD/JPY went up by 0.1% demonstrating 112.97 having ascended to 113.08 previously - its strongest value since January 9, underpinned by Powell’s positive remarks.

            The evergreen buck is expected to keep ascending, especially versus Japan’s currency, with risk aversion in the equity markets fading away, as some financial analysts pointed out.

            While long-term Treasury revenues aren’t soaring powerfully, it’s a pure reflection of investor demand for American assets, which generates a degree of dollar-buying in the market.

            Aside from that Powell told that at his testimony that protectionism is capable of hindering economic surge. He told that those countries, which have remained open to trade, and which haven’t come up with barriers including duties, have ascended quicker. Respectively, these countries boast higher incomes as well as higher productivity.

            Moreover, trade worries can have a strong impact on salaries as well as capital expenditures, as Powell pointed out.

            In addition to this, the currency pair AUD/USD managed to decline 0.14% demonstrating an outcome of $0.7381, thus extending its rebound from Tuesday when this currency pair lost approximately 0.45% versus a broadly stronger major American currency.

            As for Japan’s currency, it was nearly intact versus the evergreen buck. Meanwhile, on Wednesday, the currency pair USD/CNY headed south by nearly 0.02% trading at 6.7065.

            Comment


            • #36
              Gold edges up on Trump’s remarks

              20.07.2018

              On Friday, the leading precious commodity rallied, thus offsetting some of its weekly losses because Trump’s remarks about Fed rates and the evergreen buck put pressure on the US currency.

              August delivery gold futures went up by 0.6% trading at $1,231.10 an ounce. On Tuesday, the contract hit about $1,224, which is the lowest value since July 2017.

              As for the SPDR Gold Shares exchange-traded fund GLD, it rallied by 0.7%.

              Meanwhile, the USD index slumped by 0.7%. The USD index, assessing half-dozen counterparts, normally moves opposite greenback-denominated gold. In general, the US currency has enjoyed this year’s rebound due to the fact that market participants have turned to America as a trustworthy source of safety during hard times.

              Some experts are assured that such factors as immediate interest-rate policy as well as the risk of trade conflict don’t undermine the every function of gold as a reliable asset. US leader told he was ready to slap duties on all China’s products imported to America.

              Some market experts are assured that the medium-term outlook for the number one precious commodity is quite upbeat because they expect the key US bank to cease lifting rates next year. The American economy is also anticipated to speed down in 2019 that coupled with lower revenues as well as a weaker greenback would most likely underpin gold.

              In addition to this, September delivery silver futures managed to ascend approximately 1% being worth $15.549 an ounce. On Thursday, the contract slumped more than 1% hitting $15.402 an ounce, which is the lowest value since late 2016. Moreover, it faced a 1.7% weekly tumble. Besides this, for the week the iShares Silver Trust SLV headed south 1.9%.

              September delivery copper futures ascended 2.2% demonstrating an outcome of $2.756 a pound, having reached $2.696 a pound on Thursday.

              Comment


              • #37
                German economy demonstrates improved momentum in the second quarter

                23.07.2018

                In the second quarter, the German economy managed to regain some of its lost momentum, underpinned by manufacturing, private consumption as well as reviving exports. That’s what the Bundesbank told in a monthly economic statement on Monday.

                For the first three months of 2018 economic surge suddenly halved to a quarterly rate of about 0.3% and financial analysts are still discussing whether the deceleration turned out to be merely a hiccup or it stood for the end of a boom in the EU’s number one economy.

                Worries that worsening trade tensions could also impact surge have also been affecting investor sentiment. Additionally, the International Monetary Fund told that the euro zone was experiencing serious risks, which could provoke a hand landing for the German economy after a five-year rally.

                As some financial analysts pointed out, the German economy demonstrated better momentum in the spring in contrast with the beginning of the year. However, it’s unlikely that the high surge rates of the previous year are going to be repeated. Once again manufacturing turned out to be the major economic driving force.

                Pharmaceutical output happened to be especially firm. In addition to this, car manufacturing rallied steeply, even as the output of intermediate goods was still poor, as the bank informed.

                Part of the improvement in surge momentum could be explained by the expiration of one-off factors, which held back surge, such as an extremely disruptive flu season. That’s what the Bundesbank informed.

                As for household consumption, it managed to remain a cornerstone of surge. At the same time, government consumption that went down in the early part of 2018, bounced off too.

                Besides this, activity in the flourishing construction sector managed to drastically ascend notwithstanding capacity constraints, as the Bundesbank pointed out.

                Comment


                • #38
                  Daily News: markets are varied

                  24.07.2018

                  The US dollar index has been trying to recover. It has been trading between $94.50-95. However, to reach the psychological level at $95, it needs additional support. No important economic data will be out today. As a result, there are risks of the fall below $94.50. Otherwise, the index will continue trading within the channel. The resistance lies at $95.



                  Tuesday is the day of the euro. A lot of economic data have been released today. The data were mixed and the USD recovers, as a result, EUR/USD has been suffering. The pair is trying to stay above the pivot point at 1.1680. However, the pressure is big. If the USD is stronger, the pair will break below the pivot point. The next support is at 1.1610. Otherwise, it will be able to stick above 1.1680. However, the rise to the resistance at 1.1785 is unlikely.



                  The pound can’t break above the pivot point at 1.3125. The trend line puts additional pressure on it. To break this level, the UK currency needs additional support. However, no important economic data will be out today. Strengthening dollar won’t let GBP/USD move up. The support lies at 1.2955. However, if the USD’s growth slows down, the pair will stick above 1.3125.



                  USD/JPY has been strongly plunging. On Monday, the pair tested the support at 110.80 but couldn’t stick there. Up to now, the pair has been trading around 111.20. The support still lies at 110.80. Even the strengthening USD doesn’t help the pair to recover as the market expects changes in the policy of the Bank of Japan.



                  Some words about exotic currencies.

                  It’s worth saying that USD/TRY tested the highest level in the history at 4.9678 on July 12. The Central Bank increases the interest rate to support the TRY despite the willingness of Turkish President to lower the interest rate.

                  The Central Bank of the Republic of Turkey will release the interest rate today. The market anticipates the rate hike. However, the Turkish lira has been suffering today. USD/TRY is trading near 4.75. The resistance lies at 4.80. However, the rate hike may pull the pair down. The support is at 4.70.



                  The Chinese yuan continues depreciating not only against the USD but also against the basket. Trade wars tensions put pressure on the currency. Talking about USD/CNH, the pair has been trading at highs of June 2017 near 6.84. The next resistance is at 6.90. In case of the reversal, the support will lie at 6.7750.



                  That’s all for today! Follow market news with FBS!

                  Comment


                  • #39
                    American futures stand still ahead of Juncker and Trump meeting

                    25.07.2018

                    On Wednesday, American futures stood still because Donald Trump and European Commission President Jean-Claude Juncker are expected to meet to negotiate trade.

                    The S&P 500 futures headed south by 0.14% trading at 2,817.0, Dow futures slumped by 0.08% trading at 25,194.0. At the same time, the tech heavy Nasdaq 100 futures dipped by 0.01% reaching 7,415.50.

                    America slapped steep duties on aluminum and steel imports from the European Union and also hinted at a possibility of extending duties to the car sector. In return, the European Union prepared a retaliatory action to withstand probable car duties.

                    On Tuesday, US leader posted on Tweeter that America and European bloc need to remove all barriers, tariffs and subsidies.

                    Boeing and UPS are anticipated to post their second-quarter outcomes before the morning bell. Additionally, Ford Motor Company, Facebook Qualcomm as well as others will uncover their result after the closing bell.

                    General Motors Company tumbled by 3.75% due to the fact that its profit missed expectations. In addition to this, General Electric headed south by 0.76%, Cisco Systems Inc sagged by 0.21%, Netflix inched down by 0.65%.

                    Additionally, Perrigo Co edged up by 0.42%, Chinese e-commerce firmJd.Com Inc Adr soared by 0.59%. As for Coca-Cola Company, it ascended by 1.30% after its revenue turned out to be better than anticipated.

                    In the European Union, equities generally dipped. The DAX sank by nearly 0.23% in Germany. The CAC 40 soared by 0.01% in France. The FTSE 100 slumped by 0.65% in London. Meanwhile the Euro Stoxx 50 went down by 0.34%. The IBEX 35 dipped by 0.37% in Spain.

                    Meanwhile, gold futures managed to ascend by 0.40 hitting $1,230.40 a troy ounce. Crude futures went down by about 0.16% being worth $68.41 a barrel.

                    Comment


                    • #40
                      Euro hits 3-day maximum on trade talk expectations

                      26.07.2018

                      On Thursday, the common currency kept to a three-day maximum because concerns as for a global trade conflict relieved after the USA along with the European bloc made up their mind to start negotiations on lowering duties.

                      Following Wednesday’s negotiations with European Commission President Jean-Claude Juncker, American leader Donald Trump informed that they had decided to fruitfully cooperate toward zero duties, zero non-tariff barriers as well as zero subsidies on non-auto industrial products.

                      However, the moves in the EU’s major currency turned out to be far more subdued compared to stocks. As a matter of fact, car equities managed to ascend 2%, bond profits rallied because traders awaited the fine print to show up on the trade discussions.

                      The common currency rallied 0.1% being worth $1.1738, extending its soar after leaping 0.4% yesterday, Before the Trump-Juncker negotiations, the euro sank to a minimum of $1.1664.

                      The very focus for currency markets was the ECB’s policy verdict due later on Thursday exactly where market participants are going to study remarks by Governor Mario Draghi for any further clues on the tempo of policy normalization.

                      However, another sink of the Chinese Yuan after yesterday's bounce actually undermined broader risk hunger in the financial markets. The Chinese Yuan edged down 0,5% hitting 6.79.

                      Apparently, a more than 6% slump in the value of the Chinese Yuan versus the evergreen buck since mid-June as trade clashes worsened has pressured export-oriented emerging markets.

                      For the last two weeks market participants ramped up bearish deals on all emerging Asian currencies, as follows from a Reuters survey.

                      Additionally, the USD index kept to a two-week minimum versus a group of six key currencies and it declined 0.25% hitting 94.131.

                      The UK currency stood still showing $1.3202 because hopes as for a rate lift next week from Britain’s key bank backed the British pound.

                      Comment


                      • #41
                        #WeeklyCryptoNews

                        27.07.2018

                        Tim Draper, investor: the world currency market will rise to $140 trillion in 10 years. The rise will be supported by cryptocurrencies. The fiat money will be used less, digital currencies will prevail in the world financial market.

                        Marc Lasry, billionaire, the head of Avenue Capital Group: everyone will come to Bitcoin. That’s why I like it.

                        Cryptocurrencies

                        This week Bitcoin has reached the highest level since the end of May. The cryptocurrency tested the level of $8,336. However, it didn’t get enough support to stick at it. Up to now, Bitcoin has been moving down to the psychological level at $7,500. 100-day MA lies at this level. As a result, there are odds of the rebound. The resistance will lie near $8,340. If there is negative news in the cryptocurrency world, the digital currency will break the support and will move to $7,000.



                        Users of the MyEtherWallet can buy ЕТН for fiat money. For buying, they can use Visa or MasterCard.
                        The American company “Тhe Entrepreneurs Headquarters” stole investors’ $500 000. CFTC has amerced the company for $2 million. Moreover, The Entrepreneurs Headquarters has to compensate all losses for investors.
                        Individual users of Bittrex can withdraw the fiat USD. However, the users have to be from California, Washington, New York or Montana.
                        A new Voyager platform will be launched in the US. The platform will serve operations without commissions. In the beginning, users will be able to trade 15 cryptocurrencies including Bitcoin, Ethereum, Litecoin, Bitcoin Cash, and Ethereum Classic. Later, the company will add other assets that are not provided at most major American platforms including XRP and Stellar.

                        Regulation

                        G20 countries will make a regulation against money laundering with cryptocurrencies. Although countries don’t consider cryptocurrencies as a risk for the world the financial stability, the regulation should be implemented.
                        Venezuela wants to replace the national currency with a new one that will be tied to the national cryptocurrency El Petro to lower the hyperinflation. The denomination will start on August 20.
                        Iran plans to launch the national cryptocurrency to circumvent American sanctions. The Central Bank plans to implement the blockchain technology in 3 months.
                        To circumvent national cryptocurrency banning, Chinese bitcoin-millionaires buy American real estates.

                        Blockchain

                        A new payment system of the Bank of England that will be launched in 2020 will be compatible with blockchain. Before the Central Bank planned to use the blockchain in the gross settlement system but refused this idea.

                        Just for fun

                        The first purchase with Bitcoin that was registered by blockchain happened in California.

                        Users of the blockchain platform Augur bet on crimes, death and etc. Users have already bet on the date of death of Warren Buffet and Donald Trump’s murder.



                        Bitcoin $7,933.9 (-3.95%)

                        DASH $240.00 (-3.26%)

                        Ethereum $461.83 (-3.54%)

                        Litecoin $82.524 (-5.59%)

                        Comment


                        • #42
                          Daily News: a lot of news

                          30.07.2018

                          The US dollar index is above the psychological level at $94.50. However, there are no significant data that could support the rise to $95. Up to now, the index has been falling to the support at $94.50. If no crucial news shakes the market, the fall below $94.50 is anticipated.



                          News on the Brexit deal! To hit the deadlock in the Brexit negotiation, Britain agreed that the European Court of Justice would give a final word in the arbitration of arguments over the working of Brexit, any disputes over Britain’s £39 billion bill, and Irish border But not all are happy with this concession. This issue will bring more dissensions in the UK government.

                          What about the pound?

                          GBP/USD has been moving up (any progress in the Brexit deal always support the GBP). The trading isn’t extensive. However, there is a gap that may signal about the further upward movement. The resistance lies at 1.3125 (the pivot point). As soon as the pair sticks above this level, chances of the rise will increase. Otherwise, the fall to 1.3040 may happen.



                          The ANZ Bank has a positive outlook on the EUR. According to the Bank, in the medium-term, the EUR/USD will move to 1.25 and higher. The first reason is a progress in trade talks between the US and the EU. The second reason is confident Mr. Draghi about the economic conditions. The Bank suggests buying the EUR/USD at the current level and wait for the rise.

                          Up to now, the pair has been moving to the resistance at 1.1675. 50-day MA puts strong pressure on the further rise. No significant economic data will be out today. The euro needs the weak USD to break the resistance. As soon as it appears above it, chances of the further rise will increase. The next resistance is at 1.1730. Otherwise, there are risks of the reversal to 1.16.



                          The Chinese yuan has been depreciating against the USD again. USD/CNH has been trading near 6.85. However, according to Goldman Sachs, the weak yuan may be an effective tool against the tariffs. A yuan drop of 10% against the basket may support the export growth, add points in the GDP and encourage the CPI data.



                          The USD/JPY pair keeps trading within the 110.80-111.30 channel. No important economic data will be released for either the USD or the JPY. Traders are waiting for the BOJ meeting that will take place tomorrow. Mounting talks about changes in the Central Bank’s monetary policy create a volatility in the market. The market anticipates that the Bank may give clues on the tapering of the Quantitative Easing. If the market is disappointed, the Japanese yen will depreciate against the USD. As a result, the pair will move to the next resistance at 112.65. If the market gets clues on the QE exit, chances of the yen’s rise will increase. The pair will break below 110.80.



                          That’s all for today! Thank you for your feedbacks

                          Comment


                          • #43
                            Federal Reserve’s Meeting

                            31.07.2018

                            The Federal Reserve strongly influences the USD exchange rate. The central bank has already raised the interest rate 2 times this year. The market anticipates 1-2 additional rate hikes. However, just recently, the US president’s top economic adviser urged the Fed to raise interest rates “very slowly”, despite the fact that usually the administration avoids comments on monetary policy.

                            The US dollar needs some support to continue its upward movement. The Fed will release the interest rate and the economic outlook on August 1 at 21:00 MT time. If the Fed takes the administration’s comments into consideration, traders may anticipate a more dovish statement of the central bank.

                            • If the Fed is hawkish, the USD will move up;

                            • If the Fed is dovish, the USD will lose momentum.

                            Check the economic calendar



                            Source of the picture: TRADINGECONOMIC.COM|FEDERAL RESERVE

                            Comment


                            • #44
                              Global factory surge speeds down due to US-China trade clashes

                              01.08.2018

                              In July, factory surge speeded down around the globe, raising worries as for the global economic outlook because an escalating trade war between China and the USA affected the global economy.

                              Global economic activity is still firm, although it has already passed its maximum, according to market experts surveyed by Reuters in July. They actually expect protectionist policies on trade that don’t demonstrate any indications of relief to tap the brakes.

                              However, decelerating surge, diving confidence as well as trade war worries won’t probably deter key financial institutions from giving up their ultra-loose monetary policies activated during the last financial downtime.

                              Surge is still resilient. Wages and inflation go up, while unemployment rates happen to be low. All of this gives major banks grounds to proceed with tightening, as some financial analysts pointed out.

                              The previous month, the United States and China slapped tit-for-tat duties on $34 billion of each other's products and another round of duties on $16 billion is anticipated to kick in August.

                              According to some sources, the current US presidential administration is braced for slapping 25% duties on a further $200 billion of imports, in contrast with an initial proposal of 10%. Trump’s threat of tariffs on the entire $500 billion worth of Chinese products is still actual.

                              The Chinese government has promised equal retaliation. However, this Asian country imports approximately $130 billion of American products.

                              On Wednesday, world equities headed south and the evergreen buck rallied on worries of an approaching escalation in the US-China trade conflict.

                              In America, surge is anticipated to speed down a bit, although remain firm enough for the Fed to remain on track for two rate lifts in 2018.

                              European factory surge was still sluggish in July, while Asian manufacturers demonstrated a loss of momentum.

                              Comment


                              • #45
                                Greenback rallies on Fed statement

                                02.08.2018

                                On Thursday, the major US currency managed to leap versus its key rivals after the key US bank told that it’s on track for extra rate lifts in 2018, while the British pound dived ahead of the BoE’s policy announcement a bit later in the day.

                                Assessing the US currency’s purchasing potential versus its main counterparts, the USD index tacked on by 0.21% hitting 94.66.

                                Demand for the evergreen buck was still backed after the major US bank kept interest rates on hold as generally anticipated at the conclusion of its policy gathering on Wednesday. The Fed stressed that the American economy has been adding confidently and the job market has kept strengthening.

                                The evergreen buck was also backed by safe haven demand in the face of renewed worries over global trade tensions.

                                On Wednesday, the current US presidential administration told that it’s geared up towards ramping up duties on $200 billion worth of China’s imports to 25% having earlier setting them at 10%, thus driving a trade conflict between the world’s leading economies.

                                The common currency declined versus the US dollar. The currency pair EUR/USD headed south 0.21% demonstrating an outcome of 1.1634.

                                The evergreen buck dived a bit against Japan’s currency. The currency pair USD/JPY slumped by 0.09% trading at 111.62. However, it held on to most of its Tuesday’s revenue after the Bank of Japan promised to keep interest rates low enough. Moreover, the bank made minor tweaks to its asset purchase program for the purpose of making it more flexible.

                                The pound edged down. The currency pair GBP/USD declined by 0.28% reaching 1.3090 ahead of the conclusion of the BoE’s gathering later on Thursday, at which it was generally anticipated to deliver its second rate lift for a decade, notwithstanding a weakening outlook for the British economy as well as escalating uncertainty over Brexit.

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