Market

U.S. Dollar Dips As Inflation Concerns Ease | Investing.com

The US dollar beats a modest retreat

The pace of the reversal after last week’s mid-week inflation scare slowed, with the greenback modestly lower. The dollar index fell 0.12% to 90.20 and has eased another 0.10% to 90.10 today, as Asian markets race to discount viral fallouts regionally. That leaves the index just above support at 90.00 with a daily close under that level, signalling further losses to 89.50.

has risen 0.13% to 1.4166, having tested its rising support line at 1.2045, also its 100-day moving average, perfectly, just last week. Resistance at 1.2180 is close by, and a move higher will signal more gains to 1.2250 initially. Similarly, exploded higher after breaking strong resistance at 1.4000 last Monday. It then retraced mid-week to 1.4000 almost exactly before resuming its rally to 1.4170 as of this morning. It is now set to test 1.4240 on its way to 1.4400. Technical analysis nirvana doesn’t occur as poetically as the moves in EUR/USD and GBP/USD over the past week, and in such circumstances, one must respect the underlying signals. The vaccination reopening premium has returned for now.

continues to mark time above 109.00 with the US/Japan yield differential offsetting general US dollar bearishness. The risk-sensitive {{|Australian}} and dollars have recouped some recent losses, leaving them mid-range while the commodity rally has restarted in earnest. is testing support at 1.2050 this morning, and with commodity prices still pumping up the volume, further Canadian dollar gains seem inevitable now. Given Canada’s dire Covid-19 situation domestically, the outperformance of the CAD provides an interesting window on where financial markets’ real loyalties lie. If Covid isn’t in the US, Europe or China, they’re not interested.

The has rallied 0.50% and has recovered much of yesterday’s early losses versus the greenback, another indicative signal. Asian currencies across the region are modestly higher after a firmer fixing, with most of the action in currency markets focused on the DM space.

Original Post

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Most Related Links :
usnewsmail Governmental News Finance News

Source link

Back to top button