Weaker Dollar, more tariffs

Frank Walbaum FX Strategies.Asia

Important News for the week

Wed, 12th, 14:30 CET US Consumer price index.
Thu, 13th, 08:00 CET UK Gross domestic product.
Fri, 14th, 14:30 CET US Core retail sales.

More tariffs

US President Trump stated that more tariffs will be implemented. 25% would be added to the import of steel and aluminium. More tariffs will also be added during the first days of this week. India and Japan brought potential concessions towards the US to the table. Furthermore the European Union would give in over tariffs being implemented over the import of vehicles into the United States.

Market talk

After a strengthening Dollar last week on Friday due to the weaker than expected NFP data, the Greenback started losing steam since the beginning of the week. The risk sentiment then resumed its upside momentum and also crypto markets went higher so far. The weakness of the Dollar might be of help as well for precious metals. Silver is inching higher, and also Gold prices created new record highs. Market participants seem to favour diversity in current markets. After gearing up some steam also the JPY had lost momentum today. All JPY pairs keep moving higher, which might just be a retracement.

Tendencies in the markets

Equities positive, USD weak, cryptos positive, oil sideways, Silver positive, Gold positive, JPY weaker.

Author

Frank Walbaum

FX Strategies.Asia

Frank has been working in the TV business for several years. Acquiring his skills in Germany’s biggest broadcasting station, he then chose to work and live in Asia, which was in 2007.

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