Please select the second broker
USD weakens by 0.3% ahead of Federal Reserve minutes release
The US Federal Reserve releases its minutes today and investors are waiting anxiously to see if they reveal any indications of its future monetary policy as the dollar continues to weaken against other currencies worldwide.
With Republicans and Democrats at odds over the development of a financial support plan to aid the country’s manufacturing sector, which has been hit hard by the COVID-19 pandemic, it is unclear how long it will take for a deal to be struck, creating increasing concern among investors.
Notably, the Dollar Index was down by 0.3% (92.547) on Monday 17th August, when tracked against six major currencies.
With US Treasury yields also low and indicators that the country’s economy has been more severely affected by the pandemic than those of other leading nations, the dollar is struggling despite its traditional status as a secure currency in uncertain times.
By contrast, gold has remained strong, cryptocurrencies are booming, and the pound sterling is bearing up better than expected following indications that there may be a Brexit deal after all.
It has now been gaining against the dollar for four days.
The weak dollar has not dampened US equity markets, which are performing remarkably well in light of the country’s wider economic problems.
In particular, retailers with a strong focus on ecommerce have seen their stocks growing well.
Walmart sales are up considerably this quarter, with its share price closing at $134.71 on the NYSE yesterday.
Amazon, meanwhile, has grown steadily yet substantially over the past four months and closed at $3,312.49, and Costco has recovered to pre-pandemic levels, at $340.75 – a boon for those customers who only held onto their stock because of its dividends.
Uncertainty about the dollar seems to be benefiting the euro, which is trading strongly against it and may increasingly be seen as an alternative safe-haven currency in an uncertain world.
Overall, the dollar is now at its lowest since January 2018.
Scam Brokers, Broker Complaints
Are you aware of a scam broker or want to make a broker complaint?
We want our site users to find good brokers to trade through and to be warned off bad brokers. We encourage you to use our complaints tool to let us know about your experiences.
We have categorised the common complaints to make it easier for you and we have provided some guidance on what you may want to try before submitting a complaint, if our suggestions do not provide you with a resolution then by submitting a complaint, our team will attempt to take up your case with the relevant Broker and if needed, submit a formal report to the regulators.
We use the information you give us to decide if we want to continue to promote a broker on our site.
Your scam broker complaint not only helps you, it helps others and it helps us determine if we continue to support the broker.