Friday Briefing: From DXY to Russia – Ukraine Conflicts; June 03, 2022

US Dollar Index Overview

• The DXY rises on Friday and stabilizes around 102.00 mark.
• The intraday high is 102.19 and low at 101.64 mark.
• A day Chart with triple EMA and H1 chart suggest bullish trend for the time being.
• Immediate hurdles are seen at 102.32 to 101.62 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:

• Britain celebrates the second day of Queen Elizabeth’s Platinum Jubilee today, with a service of thanksgiving attended by senior royals and politicians, but not the 96-year-old monarch herself due to ‘mobility issues – Reuters.
• The World Bank plans to step up assistance to the Solomon Islands with $130 million in new funding for projects and assistance expected to be allocated to the country this month.The funding includes $89 million to upgrade airport infrastructure – Reuters.
• Australia’s new centre-left Labor government proposed raising the minimum wage to ease the financial burden on families hit by soaring energy prices and a spike in consumer price inflation – Reuters.
• Tesla CEO Elon Musk has a “super bad feeling” about the economy and wants to cut about 10% of jobs at the electric carmaker, he said in an email to executives – Reuters.
• The Biden administration is considering “all options” as it reviews potential changes to U.S. duties on Chinese imports, including tariff relief and new trade investigations in a shift of focus to strategic concerns with Beijing, Deputy U.S. Trade Representative Sarah Bianchi said – Reuters.
• U.S. bond funds attracted net inflows in the week to June 1, after five months of outflows, as fears eased over the Federal Reserve’s aggressive monetary tightening measures and signs emerged that inflation may have peaked – Reuters.
• Global bond funds obtained inflows in the week to June 1 after eight weeks of outflows, lifted by strong demand as fears over aggressive monetary tightening and excessive price pressures eased – Reuters.
• Ukraine has signed a deal for the U.S. nuclear power company Westinghouse to supply fuel to all of its atomic power stations in an effort to end the country’s reliance on Russian supplies, Ukraine’s state nuclear company said on Friday – Reuters.

Latest updates on Russia – Ukraine Conflicts:

• Russian forces advanced deep into the ruined eastern factory city of Sievierodonetsk, as Russia’s assault on its neighbour entered its 100th day – Reuters.
• Ukraine is trying to hold out against overwhelming Russian fire on its eastern front long enough for Western weapons to arrive and give it a badly needed edge – Reuters.
• Sanctions-hit Russia has limited exports of noble gases such as neon, a key ingredient for making chips, until the end of 2022 to strengthen its market position – Reuters.
• Russia’s Pacific Fleet launched a week-long series of exercises with more than 40 ships and up to 20 aircraft, Russian news agencies quoted the defence ministry as saying – Reuters.

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

Take a look and do trade wisely!
Good Luck