Markets on Thursday: Hawkish Minutes Can’t Boost the USD - Forex News by FX Leaders

Markets on Thursday: Hawkish Minutes Can’t Boost the USD

Posted Thursday, April 12, 2018 by
Rowan Crosby • 1 min read

Attention was back on the US economic situation on Wednesday and markets were keen to shake-off the US-China trade wars.

US CPI came in beneath expectations, however annually the rate is looking to be 2.4%. This is right in the target band for the Fed and they said as much in the FOMC statement.

With inflation on the rise, they now have scope for a faster pace of interest rate hikes. That should be bullish for the USD, but after a slight bump, the dollar fell.

The USD/JPY and EUR/USD ran into support and resistance and didn’t mount too much of a fight.

Bitcoin is still trading below resistance at 7,000. The digital currencies have been a little quiet in the last few sessions as price looks to try and recover.

Key Support

As expected we drifted back down to the 89.50 support level and got a bit of a bounce. The FOMC and CPI didn’t really provide much of a spark at all. Even though theoretically we should be seeing some upside.

It appears that there are still sellers present and we won’t be able to get a rebound until they have finished putting on the downward pressure.

I am looking for some more upside on Thursday, although we don’t have much to work with at the moment.

US Dollar Index (DXY)- 240 min Chart.

 

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies

About the author

Rowan Crosby // Asia-Pacific Analyst
Rowan Crosby is a professional futures trader from Sydney, Australia. Rowan has extensive experience trading commodities, bonds and equity futures in the Asian, European and US markets. Rowan holds a Bachelor of Finance and Economics degree and is focused heavily on Investment Finance and Quantitative Analysis.
Related Articles
With the Good Friday and Easter holiday, we don’t have very many potential market-moving economic events to throw on the watchlist....
2 days ago
The financial markets remain closed on the back of Good Friday, however, the forex pairs are still active. Watch out the major trading level
2 days ago
Comments

Leave a Reply

avatar
  Subscribe  
Notify of