This Week’s Market Recap: The Strong Dollar Continues to Dominate

this week's market recap the strong dollar continues to dominate

Economic Numbers Recap

GBP: Claimant Count Change was significantly better than forecasted at 0.9K against an expected 17.1K.

GBP: GDP for the month took a dip, registering at -0.5% against the expected -0.2%.

USD: Core CPI exceeded expectations at 0.3%, and the monthly CPI came in as expected at 0.6%. Year-on-year, CPI was at 3.7%.

AUD: Employment Change figures surprised the market with 64.9K, far outpacing the forecast of 25.4K.

EUR: The Main Refinancing Rate increased to 4.50%, up from the previous 4.25%.

Chart Analysis: Nine Weeks of Consecutive Gains for the Dollar

– The US dollar has been on a relentless rally, recording gains for nine consecutive weeks.

– Both Gold and Silver have managed to climb higher as the week wraps up.

– Crude Oil showed promise with significant gains, defying the otherwise bearish sentiment.

– Global indices also showed signs of strength, producing positive results.

What’s Ahead? Economic Calendar for the Coming Week

Notable events to watch out for include:

– Tue: CAD’s CPI figures will be out.

– Wed: GBP’s CPI and the highly anticipated U.S. Federal Funds Rate.

– Thu: GBP’s Monetary Policy Summary and USD’s Unemployment Claims.

– Fri: A mix of PMI numbers from the EUR and GBP, along with JPY’s Monetary Policy Statement.

Charts of interest will Crude Oil retrace soon, to retest for support before resuming its moves higher?

screenshot on weekly 15 sep2023 us oil spot daily

Next up, can Gold escape its current bearish sentiment? A break up through the downward sloping line could hint at ‘yes’.

screenshot on weekly 15 sep 2023 gold spot daily

Just looking at Bitcoin, which is currently at the bottom of a sideways range- could we see it move back up to the top of the range this week?

screenshot on weekly 15 sep 2023 btc usd weekly

The US30 and other global indices appear to be producing higher-highs and higher-lows, hinting at possible moves higher in the coming week…

screenshot on weekly 15 sep 2023 us30 spot daily

Final Thoughts

The US dollar’s strong performance continues to be the central story in the markets. However, other asset classes like Gold, Silver, and Crude Oil are showing signs of strength. It will be interesting to see if the dollar’s rally can sustain itself or whether other asset classes will mount a comeback.

For more in-depth market analysis, don’t miss our weekly video recap on!

Adam Harris

FXGlobe Ambassador Adam Harris is based in London, UK. He’s been trading professionally since 2013 and his specialties are technical and trend-based trading.

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