Tuesday Briefing: From DXY to Latest Russia – Ukraine Conflicts; July 26, 2022

US Dollar Index Overview

• The DXY appreciates on Tuesday and hovers around 107.00 mark.
• It made intraday high at 107.28 and low at 106.20 mark.
• A day Chart and H1 chart with triple EMA suggest up trend for the time being.
• Immediate hurdles are seen at 107.31 to 106.55 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:

• In Australia, hospital admissions for COVID-19 have reached a new high for a second straight day, while the daily death toll rose to its second-highest as an outbreak fueled by a coronavirus sub-variant sweeps the country. Nearly 5,600 patients infected with COVID are in hospital, while 100 new deaths were reported.
• The Alps’ glaciers are on track for their highest mass losses in at least 60 years of record keeping, data shared exclusively with Reuters shows. If greenhouse gas emissions continue to rise, the Alps glaciers are expected to lose more than 80% of their current mass by 2100.
• U.S. and Taliban officials have exchanged proposals for the release of billions of dollars from Afghan central bank reserves held abroad into a trust fund, three sources familiar with the talks said, giving a hint of progress in efforts to ease Afghanistan’s economic crisis.
• European Union countries are set to approve a weakened emergency EU proposal to curb their gas demand on Tuesday, with opt-outs allowing them to follow different national paths to prepare for Russian supply cuts.
• Chinese stocks jumped after reports the country would set up a fund of up to $44 billion to help property developers.
• The United States became the top liquefied natural gas (LNG) exporter in the first half of 2022, the Energy Information Administration (EIA) said, citing data from CEDIGAZ, as the country increased supply to Europe amid the Ukraine crisis.
• The leaders of China and Indonesia pledged on Tuesday to scale up bilateral trade and expand cooperation in areas such as agriculture and food security, following a rare visit to COVID-wary China by a foreign head of state.
• Turkey’s Erdogan to hold one-day visit to Russia’s Sochi on Aug 5 – presidency.

Latest updates on Russia – Ukraine Conflicts:

• Russia said it will cut gas supplies to Europe from Wednesday in a blow to countries that have backed Ukraine, while missile attacks in Black Sea coastal regions raised doubts about whether Russia will stick to a deal to let Ukraine export grain.
• European Union countries approved a weakened emergency plan to curb their gas demand on Tuesday, after striking compromise deals to reduce the cuts for some countries, as they brace for further Russian reductions in supply.
• Britain said on Tuesday it had sanctioned Kremlin-imposed officials in the Luhansk and Donetsk provinces in eastern Ukraine as well as 29 regional governors across Russia in response to Moscow’s invasion of the former Soviet republic.

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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