On Monday, the Greenback failed to rise against its counterparts as markets are awaiting Trump’s speech to Congress. It is expected that Trump will use today’s speech to continue outlining his goals for his administration and to lay out his plans to build infrastructure, and reform the country’s tax system.
The U.S. dollar could rise, if Trump discusses in more details his stimulus plan, after being under pressure from the last FOMC meeting minutes. However, if the president fails to provide details regarding his proposed plans, then the dollar is expected to plunge.
The U.S. dollar index ended the day, yesterday, around its opening levels of 111.13 pips.
Gold fell from a three-and-a-half month high to around $1,250, as yields on US treasury bills rose ahead of Trump’s speach. The yellow metal could decline to $1,244 or re-test $1,260 during the next period.
The Sterling pound vs. the Greenback witnessed high volatility yesterday, before ending the day at around 1.2450 amid reports that Scotland might have an independence referendum to split from the UK in order to remain within the European Union. Although U.K. Prime Minister, Theresa May is against such referendum, she could agree to the vote, but only after U.K. exits the European Union.
Oil prices failed to maintain its gains, achieved during the day and ended the day around at the same opening price of $54.05.
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