26.09.2016 - The dollar rose slightly at the beginning of the week

Currency trading and the euro. The price of euro showed little growth, but continues to consolidate in anticipation of the new signals. We recall that the last week the Fed announced about saving of monetary policy parameters. It is worth noting that tonight will be held a debate between the US presidential candidates, Donald Trump and Hillary Clinton. The victory of Mr. Trump is assessed as high risk for the US economy and the growth of its popularity can be negatively displayed on the US economy. Today, the dynamics of trading will affect the data on new home sales in the US (14:00 GMT) and ECB President Mario Draghi (15:05 GMT). Our medium-term outlook for the euro remains negative with potential targets at 1.0700 and 1.0550.

Currency trading and the British pound. The price of the British pound rose slightly today within the correction after the recent decline. Quotes are near the psychologically important level of 1.3000 and in the near future, we do not exclude the correction of quotations. Today, will be released the data on the number of permits issued for mortgage lending in the UK (08:30 GMT) but these statistics will have a minimal effect on the course of trading. The medium-term outlook remains negative on the background of deteriorating macroeconomic indicators in the country in connection with its exit from the EU.

Currency trading and the Japanese yen. The price of the Japanese yen is consolidating at the beginning of the trading week in anticipation of the debates of presidential candidates of the US tonight, and the statement of the Bank of Japan chairman Haruhiko Kuroda tomorrow. Investors will also continue to closely monitor the dynamics in the commodity and stock markets, the fall of which will lead to an increased interest to the defensive assets like the yen. Potential strengthening of the Japanese currency is limited in connection with the intentions of the Japanese authorities to use foreign exchange intervention to deal with the strengthening of the national currency. Our medium-term outlook for the Japanese yen remains negative due to the divergence in the monetary policy of the country.

Currency trading and the Australian dollar. The price of the Australian dollar is corrected downwards against the strengthening of the US dollar and the lack of new incentives for growth. The situation in the commodity markets has stabilized, but we can see a strong movement in the near future that will affect the national currency of Australia. Our medium-term outlook remains negative and in the coming days the movement of quotations will depend on external factors.

Currency trading and the New Zealand dollar. The price of the New Zealand dollar fell after were published the news on the trade balance of the country, the deficit of which suddenly made 1.265 billion in August against the forecast of 730 million. We recall that in July, the figure was only 351 million. Investors were also disappointed with the uncertainty on the market of dairy products, the increase in price of which has not met expectations. We maintain our medium-term negative outlook on the local currency of New Zealand.

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