Forex: US Dollar Sell off May Be Nearing an Important Turning Point
The US Dollar
continued to face broad-based selling pressure at the start of the
trading week as Asian markets played catch-up to Friday’s rally on Wall
Street that brought the benchmark S&P 500
index to the highest level since January 22. The area corresponds with
where prices traded on the eve of the knee-jerk selloff that
materialized following the emergence of a diverse bouquet of
emerging-market jitters.
Meanwhile, the closely watched VIX volatility index –
investors’ so-called “fear gauge” – has now all but returned to where
it started when the panic began as well. Furthermore, the latest
positioning figures from the CFTC show speculators are once again
net-long S&P 500 futures having been the most net-short in eight
months as of February 4.
An empty European economic calendar and a US market
holiday are likely to keep things relatively quiet in the near term, but
big-picture concerns may fuel renewed risk in the week ahead. On
balance, the most significant pitfall remains the disparity
between disappointing US economic data and the firm commitment to
continue “tapering” QE asset purchases by the Federal Reserve.
Minutes from January’s FOMC meeting and the US CPI data take top billing. The US central bank seems intent to look through near-term performance and press with its $10 billion/month QE reduction cycle. For its part, the headline year-on-year inflation rate is seen rising to a six-month high.Softening
growth dynamics coupled ebbing Fed support may stoke wider fears global
growth concerns. Needless to say, that bodes ill for sentiment.
Currency Exchange Rates Today
Here you will find our full list of the foreign currency exchange rates
today. Live and updated every minute with live forex rates, you can be
sure of up-to-the-minute
reference data at your disposal! Please remember, as with all data and
figures on this website, the currency exchange rates shown should only
be used
as a guide. If you are facing loss in your trading and want to increase your trading profit just visit Online Robotic Stock trader. The ORST is a fully automated robotic trading platform which allows you to build your own trading strategies. If you want to see the demo of this system just fill your contact detail in the form below.
Register your number here for more detail
0 comments:
Post a Comment