Gloomy Opening, USD Takes Big Losses Early in the Week!


 A bleak start to the week yesterday, the US dollar suffered a sharp decline after a mixed move last week.

The dollar index fell to 105.52 points while the 10-year treasury yield of the United States (US) which managed to reach 5.00% which is the highest since 2007, plunged again to around 4.83%.

Against the US dollar, the Pound traded higher than last week, while the Euro surged to a 5-week high.

Similarly, Asian currencies, the Australian dollar and the New Zealand dollar recovered earlier this week after being pushed down at the close of trading last week.

The yen remains hovering at the "line of defense" level of ¥150.00 on the USD/JPY chart which is expected to invite the intervention of the central bank and the Japanese government in the market.

Investors' focus today (Tuesday) will be on the release of manufacturing and services PMI data which will give an indication of the current health of the economy.

In the Asian session, data for Australia and Japan will be published followed by European and UK data in the European session then the same data for the US in the New York session.

Developments on Wall Street, the prices of major stocks exhibited a mixed performance at the beginning of the week.

The Dow Jones lost 0.58% while the Nasdaq rose around 0.27%.

Several giant companies such as Microsoft, Alphabet, Visa, Coca-Cola, Spotify and others will publish their respective earnings reports today.

Commodity market developments, global crude oil prices fell again yesterday continuing the pattern of price declines at the end of last week.

US WTI oil prices fell close to $85.0 per barrel while Brent oil fell to $88.70 per barrel.

Gold trading was seen moving horizontally yesterday around the $1,980 price zone after the upward trend that continued until the end of last week has almost touched the height of $2,000.