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Major Indices Overcome Key Levels After Fed Statements

Published 07/27/2017, 08:28 AM
Updated 03/09/2019, 08:30 AM
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Yesterday the US dollar sharply weakened against the major world currencies. The Dollar Index (#DX) fell by more than 0.60%. The Fed, as expected, left the range of the key interest rate at the previous level of 1.00-1.25%. The regulator pointed to weak prospects of the inflation growth, which currently is below the target level of 2%. These comments put considerable pressure on the US dollar. The probability of tightening the Fed monetary policy in December this year fell to 46.8%.

The growth of the UK economy in the second quarter slowed to 1.7% (year on year). At the same time, the indicator justified market expectations. In June, new home sales in the US increased by 0.8% to 610,000, which is less than the forecasted value of 615,000.

The oil quotes continue to recover. At the moment, futures for the WTI crude oil are being traded near $48.50 per barrel.

Market Indicators

The main US stock indexes are testing historical highs.

During yesterday's trading, the 10-year US government bonds yield fell sharply. At the moment the indicator is at the level of 2.28-2.29%.

Today, the economic reports from the US are in the focus of attention:

- Statistics on orders for durable goods at 15:30 (GMT+3:00);
- The balance of foreign trade in goods at 15:30 (GMT+3:00);
- The number of initial claims for unemployment benefits at 15:30 (GMT+3:00).

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