Friday Briefing: From DXY to Latest Russia – Ukraine Conflicts; July 15, 2022

US Dollar Index Overview

• The DXY falls sharply on Friday and hovers around 108.00 mark.
• It made intraday high at 108.71 and low at 108.02 mark.
• A day Chart is up and H1 chart with triple EMA suggests down trend for the time being.
• Immediate hurdles are seen at 108.38 to 107.90 mark.
• A sustained close of either side on H1 chart requires for the further directions of the U.S. dollar.

Key Headlines for the FX market:

• President Joe Biden will discuss energy supply, human rights, and security cooperation in Saudi Arabia on a trip designed to reset the U.S. relationship with a country he once pledged to make a “pariah” on the world stage.
• Hundreds more people were evacuated from their homes as wildfires blistered land in France, Spain and Portugal, and officials in Europe issued health warnings for the heatwave in coming days.
• Britain’s weather forecaster issued its first-ever red ‘Extreme Heat’ warning for parts of England on Monday and Tuesday when temperatures are forecast to reach record highs, triggering a ‘national emergency’ alert level.
• Italy might need early elections to overcome a political impasse, government officials said, after Prime Minister Mario Draghi tendered his resignation in the wake of a mutiny by a coalition partner.
• Ten years after Draghi’s ‘whatever it takes’ pledge saved the euro when he was head of the European Central Bank, Italy is once again in the middle of a debt crisis.
• Ivana Trump, the first wife of former President Donald Trump and the mother of his three oldest children, has died at the age of 73. She played a role in building up the Trump media image in the 1980s, when they were one of New York City’s most prominent power couples.
• Two of the Federal Reserve’s most hawkish policymakers said they favored another 75-basis-point interest rate increase at the U.S. central bank’s policy meeting this month, not the bigger rate hike traders had raced to price in after a report Wednesday showed inflation was accelerating.
• Iran on Friday announced its first naval drone-carrying division in the Indian Ocean, state TV said, as U.S. President Joe Biden visits the Middle East to rally Arab support to counter Iranian threats.
• Negotiations to bring Iran back into compliance with a landmark 2015 nuclear accord are coming to an end, but it is not clear if they will result in an agreement between Tehran and world powers, a senior EU official said on Friday.

Latest updates on Russia – Ukraine Conflicts:

• Western officials accused their Russian counterparts of war crimes after Russian missiles struck a Ukrainian city far behind the frontlines in an attack Kyiv officials said killed at least 23 people.
• The European Commission is set to adopt its seventh package of sanctions against Russia, which will add a ban to the import of Russian gold and tweak existing restrictive measures to avoid hampering food exports, officials told Reuters.
• The EU “shot itself in the lungs” with ill-considered sanctions, which risk destroying the European economy, Hungarian Prime Minister Viktor Orban said.

Source: Reuters

Keep an eye open for the latest news and fundamentals affecting the FX markets.

Take a look and do trade wisely!
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