CabFed058121

The dollar keeps the south direction

The US Dollar index does not cease to disappoint its fans. For the update of the low of the 2016, there is not much left, and if situation does not change, it is likely that the US dollar will weaken even more.

Some market participants keep hope for the meeting of the Federal Reserve which to be held this Wednesday. Of course, no one expects a change in monetary policy at the meeting without a press conference, even for December forecast is less than 50%. It staying a hope that the rhetoric of the American regulator will remain hawkish and markets will again hear optimistic outlooks about the imminent restoration of the US economy.

To the words of the representatives of the Federal Reserve, markets are treated with great distrust. Officials from the beginning of the year say about that in the near future economic indicators will begin to show better values, but until this has not happened, and even vice versa, inflation fell below target 2%. Therefore, the reaction to the results of the Fed meeting may be minimal, and the markets will wait for GDP.

Forecast for Friday is very optimistic, and if it is realized, the US dollar will be able to significantly restore its positions, but until this moment, the American will remain under the pressure.