The US dollar is preparing for a collapse.

By 24/06/2020News
Morning Stock News

Gold   1693,50

EURUSD   1,0799
( -4,50%)

DJIA  24115

OIL.WTI  25,095

DAX   10609

Apparently, Donald Trump’s political campaign is starting now. On Tuesday, the US president made it clear that the trade agreement with China remains in force and the countries will continue to follow it. This means that the January agreements to suspend tariffs on Chinese imports will continue to be in force and the “trade war” will not happen yet.



As we thought, in the United States everything will be relatively fine before the election. The economy will be pumped with money, although the growth of COVID-19 is not going to go down. On Tuesday, the S&P500 is up more than 1% and trading at 3148.
There are new signs of economic recovery in the European Union, after a serious drop in production and sales due to quarantine in March and April. Consolidated PMI is rising, which indicates positive expectations of production growth and business confidence in the markets. This allowed the DAX to rise 2.1% on Tuesday to a two-week high.


Euro shows excellent dynamics since the beginning of the week. The US dollar has not yet been able to resist the main currency and is losing positions at a good pace. The Euro has a serious resistance level at 1.14 and a psychological level at 1.15. Many large analytical companies believe that the fate of the dollar is predetermined and the exchange rate may fall heavily, down to 35%, due to possible current account deficit associated with active budget stimulation. On Tuesday, EUR/USD rose to the level of 1.1340 due to concerns about problems with the American currency.


The resistance level at $1750 per ounce became a support on Tuesday. The price of gold pushed back from that level and left even higher, breaking through its annual high. Fearing a second wave of COVID-19 infections, many investors are nervous and are leaving for safe haven assets. Next, gold should go into correction. It is likely to happen at $1800 per ounce.

What’s waiting for us today?

04.00 Decision on interest rate of reserve bank of New Zealand
10.00 IFO Business Climate Index in Germany for June
16.30 US crude oil reserves

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