Breaking News
Investing Pro 0
Cyber Monday Extended SALE: Up to 60% OFF InvestingPro+ CLAIM OFFER

U.S. Dollar Buoyed Post Fresh U.S. Data

By NAGA (Michalis Efthymiou)Market OverviewSep 28, 2022 06:26AM ET
www.investing.com/analysis/us-dollar-buoyed-post-fresh-us-data-200630401
U.S. Dollar Buoyed Post Fresh U.S. Data
By NAGA (Michalis Efthymiou)   |  Sep 28, 2022 06:26AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
 
GBP/USD
-0.02%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
AAPL
-0.34%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
DX
-0.24%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
IXIC
-0.18%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

The US Dollar is rising again after the latest US economic releases. USD increased to 114.61, which is 0.45% higher than today’s open price and the highest this year.

“Cash is king” has never seemed more accurate as the US Dollar refuses to give up gains and continues to climb. Yesterday’s US Consumer Confidence Index and New Home Sales only seemed to boost USD’s price movement.

GBP/USD - Technical View

The GBP/USD pair is trading within a descending triangle pattern known to indicate a break in the trend. The price is currently trading at 40% of the earlier decline, but the bearish price movements remain higher.

Today’s candlestick is negative, but many traders wait for the price to form a bearish breakout of the 1.0623 level before trading the trend. 

GBP/USD price chart.
GBP/USD price chart.

The Consumer Confidence Index supported the US dollar, which climbed to its highest level in 5 months. The index was predicted to remain at the same level as the previous month due to another 75 basis point increase. However, the price increased significantly to 108.0.

The new rate increase was expected to pressure the property market as mortgage interest rates have reached a new high. However, the US economy remains resilient. The New Home Sales increased from 532,000 to 685,000 instead of declining to 499,000 as expected.

Federal Reserve member, Charles Evans, advised the markets that he believes the Federal Fund Rate will increase to 4.5% before the end of the year and that rate hikes will most likely come to an end in the first three months of 2023.

The official said he remains optimistic that the US economy will be able to avoid a long recession, but this will only happen in the absence of new foreign policy shocks.

NASDAQ - Technical View

NASDAQ remains under pressure for the 15th consecutive day. The price has declined by 13% after the latest inflation figures and interest rate hikes. The index also continues to decline during this morning’s futures market.

Today’s decline measures 1.85% and has taken the price to lows last seen on Jun. 17. The bearish price movement has also brought the price down to the previous support level, as mentioned yesterday. 

NASDAQ price chart.
NASDAQ price chart.

The Wall Street Journal advised that the IPO figure is one of the major pressures on the stock market. According to the report, almost 90% of IPOs in the previous year are now trading below the offered price.

IPO cost statistics look even more alarming for traders. Last year, the total value of US exchange placements was $154.0 billion, but in 2022, that number dropped to $7.2 billion, the lowest figure in the last ten years.

News coming from Apple (NASDAQ:AAPL) is also piling on the pressure. According to the latest report from Bloomberg, Apple has decided to ditch previous plans to increase the production of its new iPhone.

According to the company, the decision has been taken due to the current recession risks and lower demand. 

U.S. Dollar Buoyed Post Fresh U.S. Data
 

Related Articles

U.S. Dollar Buoyed Post Fresh U.S. Data

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email