Yesterday, the shutdown of the US government had a negative impact on the US dollar rate. As a result, the currency weakened against other majors. The US dollar index (#DX) fell by 0.24%. The euro was supported by the news, that on Sunday the German Social Democratic Party voted for starting official coalition negotiations with Chancellor Angela Merkel’s conservatives. At the moment, investors are taking a wait-and-see attitude before the ECB meeting on Thursday.
Today, market participants evaluate the news that Donald Trump extended the financing of the US government until February 8. Investors also follow the decision of the Bank of Japan on monetary policy. As a result of the meeting, the regulator kept its quantitative easing programs unchanged, but at the same time, it has optimistic inflationary expectations. During the Asian trading session, the Japanese yen showed moderate growth against the US dollar.
The bullish sentiment continues to prevail in the "black gold" market in expectation of the US oil inventories decline. At the moment, futures for the WTI crude oil are testing the mark of $64 per barrel.
Market Indicators:
Yesterday, the main indices closed in the positive zone: SPDR S&P 500 (NYSE:SPY) (+0.81%), SPDR Dow Jones Industrial Average (NYSE:DIA) (+0.55%), PowerShares QQQ Trust Series 1 (NASDAQ:QQQ) (+1.07%).
The United States 10-Year government bonds yield has begun to decline. At the moment, the indicator is at the level of 2.63%.
The news feed on 2018.01.23:
- ZEW economic sentiment index in Germany and the eurozone at 12:00 (GMT+2:00).