The US Dollar is down against other major currencies in Friday’s morning trading, as the markets digest the latest move by President Trump, who yesterday tweeted about his intention to raise additional tariffs on $300 billion-worth of Chinese imports. The timing of the announcement is probably not coincidental and may be part of a strategy pursued by the American president, trying to force the hand of the Fed to drive interest rates lower.
The Fed cut rates last Wednesday, by 25 basis points, but Jerome Powell disappointed those who expected a higher degree of dovishness, saying it was only a mid-cycle correction. However, the latest escalation in trade tension, seen by the Federal Reserve as the biggest threat to the growth of the global economy, is likely to have an impact in the central bank’s future monetary policy. This is the reason for the Dollar losses; markets are pricing in a now increased likelihood of further easing.
Photo by Jp Valery.
Has undertaken a number of senior roles in his current employer including running the international desk, responsible for managing sales, customer services and marketing functions for a number of territories, as well as acting as a regular public speaker at events and contributor to TV and other media through interviews and market analysis. Since November 2016 he has been the Senior Executive Officer (SEO) of ActivTrades Dubai branch, having overall management responsibility of the branch. Prior to joining ActivTrades Ricardo worked in the IT and Financial industries.
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© 2019 High Leverage FX - All Rights Reserved.