Upcoming Data To Have Multidirectional Impact On The Dollar

Tuesday’s trading session ended in the red zone. Investors are gradually preparing for two key events of the current week – statistical data on retail sales, and the protocol of the last meeting of the FOMC. Whats interesting, is that the results can have multidirectional impact on the direction of the dollar, and it is not clear which one of these releases will have a bigger influence.

The last report on retails showed a decrease in the consumer demand, many aspects confirm that this time markets could be disappointed. Published reports of Redbook on activity of buyers in shopping centers, showed that sales slowed, and retailers should fight for each buyer. Researches of Bloomberg agency already predicted that the current season of purchases could become the most low-active since 2009. So, if data on retails is going to be really weak, even the positive spirit of representatives of the FOMC regarding the last meeting won't be able to return belief in the USD.

Meanwhile, the euro won’t be able to use the situation with the weakening dollar for it’s benefit, if the PMI and IFO data will also confirm that growth rates in the largest economic system of Europe decreased. If PMI and IFO data show the same, the couple should give everything earned lately. As for today, the closest level to break is based on the area of 1.3550, the next purpose is located in the field of 1.3590.

Going back to the American session, following the results of the trading session the indicator of "blue chips" the Dow Jones Industrial Average index was closed in a 0.06% minus on the level 15967.03 points, the index of the wide market S&P 500 went down by 0.20% to the level of 1787.87 points, and the index of the hi-tech companies Nasdaq receded by 0.44% to a level of 3919.92 points.

Prices of commodities in the commodity market remain weak. Brent is on 107.11$ per barrel, WTI on 94.21$ per barrel, gaining 0.17% and 0.34% accordingly. Gold is flat on 1273.53$ per troy ounce, and Silver is increasing by 0.35% traded on a level of 20.40$. Since the beginning of the year, quotations of Oil fell by 4%, Gold on 24%, Silver on 33%, and Platinum on 8%. Prices can be restored only if the world economy is going to lift up, and not the solution of the Chinese plenum on the reforming of the economy. Results of reforms will be shown only in years to come, and now, for example, Oil lowering factors are restoration of export of Oil from Libya, and a possible exit of Oil from Iran to the world markets as a result of weakening of sanctions.