The US Dollar Is Under Pressure

The US dollar index (DX) fell to a three-month low yesterday. The US currency fell against the major currencies. Yesterday, consumer price indices were published, the values of which were lower than forecasted expectations. The US dollar is also under pressure due to the increase in the number of jobless claims. Today will be important for the US currency, as data on retail sales and consumer prices will be published. Although the producer price index turned out to be worse than the forecasted values, and petrol prices fell, investors expect that the retail sales figures turn out to be good.

According to the account of the ECB December meeting, the regulator intends to reject the adaptive monetary policy. Officials were pleased with the changes in salaries, but still concerned about low inflation. The publication of the account contributed to the EUR/USD strengthening by 100 points. Financial markets participants expect that in the short term EUR/USD will continue to strengthen.

Today, during the Asian trading session, the “black gold” prices fell, despite the positive data on oil imports in China. At the moment, futures for the WTI crude oil are being traded at $63.35- $63.45 per barrel.

Market Indicators

Yesterday, the major US stock indices closed in the positive zone: SPY (+0.73%), DIA (+0.78%), QQQ (+0.68%).

Because of the weak reports on the US economy, the 10-year US government bonds yield fell. At the moment, the indicator is at the level of 2.55%.

The news feed on 2018.01.12:

Also, we recommend you to pay attention to the speech of the FOMC member Rosengren.