The US dollar strengthened against a basket of major currencies during yesterday’s trading session. The US dollar index (#DX) closed in the positive zone (+0.28%). The American currency was supported by a record increase in the 10-year US government bonds yield. Yesterday, the indicator rose by 3 basis points and exceeded 3.2% for the first time since 2011.
Positive economic statistics from the United States provided additional support for the US currency. According to ADP, the number of people employed in the nonfarm sector rose to 230K in September, while experts expected 187K. The ISM non-manufacturing employment index grew from 58.5 to 61.6 in September. Also, the positive statements by the Fed representatives contributed to the increase in the 10-year US government bonds yield. Chicago Fed President Charles Evans said that the US economy reached such growth rates that the Fed would be forced “to step back from the aggressive stance”.
The “black gold” prices are consolidating. At the moment, futures for the WTI crude oil are testing a mark of $76.25 per barrel.
Yesterday, the bullish sentiment was observed in the US stock market: #SPY (+0.05%), #DIA (+0.14%), #QQQ (+0.11%).
At the moment, the 10-year US government bonds yield is at 3.20-3.21%.
The news feed on 2018.10.04:
Initial jobless claims in the US at 15:30 (GMT+3:00);
The index of economic activity in Canada at 17:00 (GMT+3:00).