The US dollar demonstrated mixed performance in the previous week. Analysts think that the same may happen this week too.
On one hand, the minutes of the latest Federal Reserve monetary policy meeting made Forex traders believe that the Fed may tamper stimulus in December after all. On the other, this week is poor on macroeconomic news, meaning that there likely will not be any additional evidences supporting such outlook. Last week of a month is usually a busy one, but the United States will be celebrating the Thanksgiving holiday on November 28, leading to thinner-than-usual trading volume. Among important economic releases will be reports about pending home sales, building permits, durable goods orders, consumer confidence, and unemployment claims.
Positive fundamentals are likely to support the euro and the Great Britain pound this week, not allowing the greenback to rise against these currencies. At the same time, the Japanese yen started the week soft and will likely continue showing weakness in the near future. Commodity currencies are also expected to stay under pressure, with the exception of the New Zealand dollar. As a result of such view, Forex Crunch is neutral on EUR/USD and GBP/USD, bullish on USD/JPY, USD/CAD and NZD/USD, bearish on AUD/USD. DailyFx is bullish on the US dollar in general.
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