Friday Briefing: From DXY to latest Russia – Ukraine Conflicts; May 27, 2022

US Dollar Index Overview

  • The DXY recovers noticeably from previous losses but remains well below 102.00 mark.
  • The intraday high is 101.93 and low at 101.43 mark.
  • A day Chart with triple EMA confirms bullish trend while H1 chart suggests down trend for the time being.
  • Immediate hurdles are seen at 101.94 to 101.58 mark.
  • A sustained close of either side on H1 chart requires for the further directions.
  • Key Headlines for the FX market:

    • Former President Donald Trump must testify under oath in the New York Attorney General’s civil investigation into his business practices, an intermediate state appeals court ruled – Reuters.
    • The United States will not block China from growing its economy, but wants it to adhere to international rules, Secretary of State Antony Blinken said in a long-awaited speech on U.S. strategy to address China’s rise as a great power – Reuters.
    • Shanghai took more gradual steps towards lifting its COVID lockdown while Beijing was investigating cases where its strict curbs were affecting other medical treatments as China soldiered on with its uneven exit from restrictions – Reuters.
    • Iraq’s parliament approved a law that will ban normalizing relations with Israel, at a time when several Arab countries have established formal ties. Iraq has never recognized the state of Israel since its establishment in 1948 and Iraqi citizens and companies cannot visit Israel – Reuters.
    • World stocks were heading for their first weekly gain in eight weeks on a more upbeat earnings view while the dollar hit one-month lows after the Federal Reserve’s minutes suggested it could put the brakes on rapid rate hikes later this year – Reuters.

    Latest updates on Russia – Ukraine Conflicts:

    • Ukraine fighting to keep control of town of Lyman.
    • Russia’s separatist proxies in eastern Ukraine claimed full control of the important battlefield town of Lyman, and Ukraine appeared to concede it, as Moscow presses its biggest advance for weeks – Reuters.
    • Ukrainian President Volodymyr Zelenskiy complained about divisions inside the European Union over more sanctions against Russia and asked why some nations were being allowed to block the plan – Reuters.
    • President Vladimir Putin said that he was glad some foreign companies had left Russia because home-grown businesses could take their place, and he warned the West that Moscow would still find ways to acquire advanced technology and luxury goods – Reuters.
    • EU working on Russia oil sanctions deal for next week’s summit that would exclude pipeline deliveries, two officials say.
    • UK PM Boris Johnson says, Ukraine should get advanced multi-rockets, reports Bloomberg.
    • Zelenskyy calls on G20 to make a clear statement of support for Ukraine.
    • Ukrainian President Zelensyy says does not think Russia is interested in ending the war, and only wants to deliver ultimatums. Russia doesn’t want any real peace talks, he adds.
    • Russian President Vladimir Putin said that the countries, which are attempting to isolate Russia, are primarily only harming their economies.

    Source: Timesofindia

    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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