Home News Finance News The US dollar turned the trend and fell for 4th consecutive session

The US dollar turned the trend and fell for 4th consecutive session

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The US dollar is about to send a fourth session in a row with decreases and although on a monthly basis the dollar index is holding a plus, the analysts say the mood is a minor. The dollar index, which measures the strength of US dollars against a basket of six major currencies, declined by 0.16% to 92.367 points. For comparison, at the end of the Friday session in New York, the benchmark was at 92.509 points.
On Friday, the index reported its third negative session in a row, as well as its first weekly decline after three consecutive weeks ending on green. For comparison, since the beginning of May, the dollar has appreciated 0.6% against a basket of currencies, cutting its decline over the past 12 months to about 7%.
The euro appreciates against the dollar by 0.3098% to 1.1977 USD while the GBP is traded higher against US dollars by 0.3175% to 1.3589 USD. Meanwhile, the greenback posted a rise in price against Japanese yen by 0.17% to 109.52 JPY.
After weeks of bullish sentiment and the medium and long-term technical resistance had passed, the mood seemed no longer the same. However, this could only be temporary and the dollar again appreciate if tomorrow’s retail sales data in the US support it.
The lack of important macroeconomic news on Monday was another factor negatively affecting the dollar as the focus is on various policy issues. On the one hand, the prospect of a populist government in Italy is growing, and on the other, the trade dispute is again on the agenda after US President Donald Trump said that he is working with the Chinese president.
The euro’s advance on Monday was backed by news that the Italian populist parties, the Lega Nord and the 5-star Movement, had late Sunday’s agreement on a government program, perhaps clearing the way for a government coalition between the two largest Italian parties, against the status quo.
At the same time, a negative effect on the dollar was the statement by Cleveland Federal Reserve Governor Loretta Mester that the US central bank should raise interest rates above 3%.