Hello
The latest Forex Focus:
with a recap:
Last week saw oil reach fresh highs of $135 a barrel which spelt bad news for the US economy and led to a general dollar sell-off....
and outlook:
Soaring oil prices, the US housing market and problems in the financial sector are all bringing downside pressure on the greenback. However, this week’s FOMC meeting minutes gave a strong signal that the Fed’s series of cuts is over. What’s more speculation is mounting that we could see a rise in rates in September as inflationary pressure increases. In addition there are also noises that the G7 will take further steps to stabilize the markets and strengthen the dollar. There is a lot of US data due this week and much of it is expected to be pessimistic and it will be difficult to buy the dollar. However, long term traders should assess the potential of buying the dollar in the dips....

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