empty
19.10.2020 05:08 PM
U.S. election sends USDX below 93.00

This image is no longer relevant

The U.S. Presidential election is in two weeks, and this keeps the dollar in a rather tight framework. The gap between Donald Trump and Joe Biden is still decent, although the Democrat's lead has narrowed slightly last week. The main event this week is likely to be the second presidential debate. This gives Trump a chance to make a good leap forward and close the gap.

This turn of events is likely to upset the markets as Trump has the opportunity to challenge the election, which is uncertainty and excitement. Meanwhile, Biden's victory in the debate is a kind of balm for the markets.

Today there are aggressive sales in the dollar. It should be noted that the USD index continues its downward trend since September 25. It is noteworthy that at the same time, the likelihood of a complete victory for the Democratic candidate began to grow.

Markets don't seem to believe Trump will be able to close the gap with Biden after the debate. These expectations may be the main reason for the greenback's decline this week. The nearest target for the dollar index is 93.00 points.

This image is no longer relevant

The US calendar this week is not particularly remarkable. Traders will be looking at new home sales, the Fed's BeigeBook, and of course the weekly labor market data.

Today's data from the PRC left a mixed impression on the markets. Weak quarterly GDP growth (4.9% versus a projected 5.2% increase) is not quite in line with industrial growth in September, which exceeded expectations (6.9% versus a forecast of 5.8%). Retail sales also jumped 3.3%, while markets expected a more modest increase of 1.8%.

Note that the dollar decline today was also influenced by the revived hopes of investors regarding an agreement between Democrats and Republicans on fiscal support measures for the American economy.

On Monday, market players are studying the speeches of the heads of two world regulators - the ECB and the Fed. In both speeches, signals for further stimulating the economy are possible.

The ECB rate cut will deal a serious blow to the euro positions. However, the euro took full advantage of the dollar's fall across the entire spectrum of the market on Monday. The EUR/USD pair broke through the strong resistance at 1.1755. If it manages to fix itself above the value of 1.1780, it will strengthen the positive dynamics.

This image is no longer relevant

Natalya Andreeva,
Analytical expert of InstaTrade
© 2007-2025

Recommended Stories

US Market News Digest for July 15

Gilead Sciences stock is showing signs of growth after a strong rebound from the support line, with a projected rise toward the March 10 high of 119.89. Meanwhile, Baidu continues

Ekaterina Kiseleva 14:16 2025-07-15 UTC+2

Bitcoin Breaks $120K, Nasdaq to New Highs: Markets Eager for More Drive

Tuesday Kicks Off Key Economic Data Series and Earnings Season Nasdaq Posts Seventh Record Close Since June 27 Crypto Stocks Jump as Bitcoin Climbs to $120K Waters Merge with Becton

Thomas Frank 10:18 2025-07-15 UTC+2

Markets on edge: Trump targets EU, inflation and China data in focus

Wall Street and European equity indices opened the week in the red, following losses across Asian markets on Monday. Investors are reacting to the latest bout of trade war rhetoric

14:48 2025-07-14 UTC+2

US Market News Digest for July 14

Donald Trump announced 30% tariffs on goods from the EU and Mexico. The initial market reaction was negative, but the S&P 500 partially rebounded thanks to gains in large-cap stocks

Ekaterina Kiseleva 14:36 2025-07-14 UTC+2

Markets on edge: Trump vs. EU, inflation and China data ahead

Wall Street futures and European shares dipped during Monday's Asian session as investors responded to renewed tariff threats from the United States. Despite the aggressive tone, many still believe President

Thomas Frank 10:40 2025-07-14 UTC+2

Stock Boom: Nvidia Crosses $4 Trillion, Bitcoin Not Lagging Behind, Dow and S&P Rising

Indices Rising: Dow Jones Up 0.43%, S&P 500 Up 0.27%, Nasdaq Up 0.09% Nvdia Ends Trading with Historical Valuation, Exceeding $4 Trillion Delta Positive Outlook Stimulates Aviation and Transport Sectors

Thomas Frank 08:37 2025-07-11 UTC+2

Nvidia Makes History: Market Rising, Company Capitalization Breaks $4 Trillion Ceiling

Indices Up: Dow Jones — 0.49%, S&P 500 — 0.61%, Nasdaq — 0.95% Nvidia Is the First Company to Reach $4 Trillion in Market Value AES Jumps on Sale Attempts

Thomas Frank 10:46 2025-07-10 UTC+2

US Market News Digest for July 9

US stock indices closed the session with modest moves: the S&P 500 edged slightly lower, the Nasdaq 100 posted a mild gain, and the Dow Jones slipped into negative territory

Ekaterina Kiseleva 14:03 2025-07-09 UTC+2

Trump Back in Action: 50% Copper Tariff, More Blows to China, EU

Trump Announces 50% Copper Tariff Announces New Tariffs on Semiconductors, Pharmaceuticals President Trump Says Talks with EU, China Are Making Progress Japan, South Korea Work Hard to Minimize Tariff Damage

Thomas Frank 09:49 2025-07-09 UTC+2

US Market News Digest for July 8

The US stock market shows restrained momentum amid uncertainty over Donald Trump's potential return to high tariffs. Although the US president has expressed a willingness to negotiate, market participants

Ekaterina Kiseleva 12:08 2025-07-08 UTC+2
Can't speak right now?
Ask your question in the chat.
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaTrade anyway.

We are sorry for any inconvenience caused by this message.