The US Dollar Index Has Updated Weekly Highs

The US dollar strengthened against a basket of major currencies despite weak economic data. Thus, GDP growth (q/q) counted to 2.2% in the 4th quarter of 2018, while experts expected 2.4%. Pending home sales index fell by 1.0%, although investors expected growth by 0.1%. Meanwhile, the number of initial jobless claims dropped to 211K instead of 220K. The dollar index (#DX) updated weekly highs and closed the trading session in the positive zone (+0.50%). The US dollar was supported by the recovery in the US government bonds yield, as well as the "soft" rhetoric of the Central Banks.

The British pound is still under pressure due to the uncertainty concerning Brexit. The British Parliament has not approved any of the bills, alternative to the draft agreement on Brexit, offered by Theresa May. The Prime Minister still hopes that parliamentarians will vote for her option for Brexit, and even has promised to resign if this agreement is approved. Today, Brexit debate will be held in the House of Commons.

The black gold" prices have been growing again. At the moment, futures for the WTI crude oil are testing the mark of $59.65 per barrel.

Market Indicators

Yesterday, the bullish sentiment was observed in the US stock market: #SPY (+0.38%), #DIA (+0.38%), #QQQ (+0.23%).

The 10-year US government bonds yield is recovering. At the moment, the indicator is at the level of 2.40-2.41%.

- German unemployment change at 10:55 (GMT+2:00);
- UK GDP data at 11:30 (GMT+2:00);
- Consumer price index in the Eurozone at 12:00 (GMT+2:00);
- Canada GDP at 14:30 (GMT+2:00);
- New home sales in the US at 16:00 (GMT+2:00).

Also according to preliminary data, Brexit debate should be held in the British Parliament.

by JMarkets, 2019.03.29

This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.