US Dollar Trades Steady in Anticipation of Trade Deal, Economic Data Releases

The US dollar is trading steady early on Tuesday as markets look forward to the signing ceremony for the phase one trade deal between the US

US dollar index DXY

The US dollar is trading steady early on Tuesday as markets look forward to the signing ceremony for the phase one trade deal between the US and China, even as market-moving economic data is awaited. At the time of writing, the US dollar index DXY is trading around 97.38.

This week, global markets’ focus is likely to stay on the US economy not only because of the upcoming trade deal signing ceremony but also significant economic data releases coming up. Later today, the US dollar could see some moves following the release of consumer price data from the US. Meanwhile, retail sales data from the US is due on Thursday.

The dollar is also trading relatively stronger against its major peers like the GBP, which has been weighed down by continued Brexit uncertainties and an increasing possibility of a rate cut by the BOE in the face of weakening British economy. The AUD has also weakened considerably over mounting concerns of economic damage as a result of the ongoing bushfires that have raged on for several weeks now.

Meanwhile, the dollar is likely to be boosted by the sentiment of the upcoming trade deal as markets eagerly expect trade tensions between the US and China to start receding. An improvement in the trade conflict can help boost economic growth in the US, which can support the greenback.

ABOUT THE AUTHOR See More
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.

Related Articles

Comments

0 0 votes
Article Rating
Subscribe
Notify of
0 Comments
Oldest
Newest Most Voted
Inline Feedbacks
View all comments

HFM

Doo Prime

XM

Best Forex Brokers