Geopolitical Risks Subsided, But Investors Are Still Concerned

The US dollar is stable relative to the basket of major currencies. However, investors are still concerned about a possible military conflict between the US, Russia and Syria. President of the United States Donald Trump has not yet expressed a clear position and further actions towards Syria, so the situation in the markets is ambiguous. Because of the conflict between the US and Syria, fears about the beginning of the trade war between the US and China have taken a back seat. The US dollar index (#DX) closed with a plus (+0.27%) yesterday.

Yesterday, euro weakened after the publication of the minutes of the ECB last meeting. The regulator expressed fears that world economic growth could slow down due to a possible trade war. Also, officials of the ECB noted that inflation was unstable.

At the moment, the "black gold" prices are decreasing against the weakening of geopolitical tensions. Futures for the WTI crude oil are testing a mark of $66.90 per barrel.

Market Indicators

Yesterday, the bullish sentiment was observed in the US stock market: #SPY (+0.82%), #DIA (+1.21%), #QQQ (+1.20%).

At the moment, the 10-year US government bonds yield is at the level of 2.82-2.83%.

- JOLTs job openings at 17:00 (GMT+3:00);
- Michigan consumer sentiment and expectations at 17:00 (GMT+3:00).

by JMarkets, 2018.04.13

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.