The US dollar is moving in different directions against a basket of currency majors despite the weakness of the US economy. The US bonds yield curve has become inverted for the first time since 2007, indicating a possible recession in the US economy. It means that the two-year US government bonds yield rose above the standard 10-year government bonds yield. Experts forecast that the economic growth in the country may slow down so much that the Fed is likely to be forced to stimulate economic growth by lowering interest rates. At the same time, the US dollar index (#DX) closed the trading session in the positive zone (+0.20%).
The tense trade relations between the US and China are a key reason why the global economy is worsening. The US President hopes that China will be able to resolve the situation in Hong Kong, as well as countries, will come to a trade agreement. Investors following the relevant information on these issues.
The “black gold” prices show negative dynamics. Currently, futures for the WTI crude oil are testing the $54.75 mark per barrel.
Market Indicators
- Yesterday, aggressive sales were observed in the US stock markets: #SPY (-2.96%), #DIA (-3.07%), #QQQ (-2.99%).
- The 10-year US government bonds yield has collapsed again. At the moment, the indicator is at the level of 1.58-1.59%.
The news feed for 2019.08.15:
- Statistics on retail sales in the UK at 11:30 (GMT+3:00);
- Philadelphia Fed manufacturing index at 15:30 (GMT+3:00);
- Report on retail sales in the US at 15:30 (GMT+3:00).
