The US dollar strengthened against a basket of major currencies. Yesterday, it became known that the US Trade Representative, Robert Lighthizer, and Secretary of the Treasury, Steven Mnuchin, had a phone call with Chinese Vice Premier, Liu He. The officials also agreed to phone again in two weeks. The United States is going to postpone the introduction of tariffs on a number of Chinese goods until December 15. The US President, Donald Trump, likely made this decision not because of success in US-China trade negotiations, but due to pressure from the US companies. The US dollar index (#DX) closed the trading session in the positive zone (+0.45%).

Optimistic economic data supported the US currency. So, yesterday, the core consumer price index was published, which increased by 0.3% in July, while experts expected growth by only 0.2%. Investors are currently expecting additional drivers.

In addition, ambiguous economic data on the UK economy were published yesterday. Thus, the average earnings index + bonus grew by 3.7% in June, as experts expected. Initial jobless claims counted only to 28.0K in July instead of 32.0K. However, the unemployment rate rose to 3.9% in June, while experts forecasted the rate at 3.8%.

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The “black gold” prices are falling after a significant increase the day before. Futures for the WTI crude oil are currently testing the $56.35 mark per barrel. At 17:30 (GMT+3:00), US crude oil inventories will be published.

Market Indicators

  • Yesterday, the bullish sentiment was observed in the US stock markets: #SPY (+1.56%), #DIA (+1.45%), #QQQ (+2.19%).
  • The 10-year US government bonds yield is at 1.64-1.65%.

The news feed for 2019.08.14:

  • Consumer price index in the UK at 11:30 (GMT+3:00);
  • Preliminary data on Eurozone GDP at 12:00 (GMT+3:00);
  • Export and import price indices in the US at 15:30 (GMT+3:00).

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