Tuesday Briefing: From DXY to Latest Russia – Ukraine Conflicts; June 21, 2022

US Dollar Index Overview

• The DXY enjoys roller coaster movement but remains well supported above 104.00 mark.
• The intraday high is 104.46 and low at 103.93 mark.
• A day Chart is up and H1 chart with triple EMA suggests bearish trend for the time being.
• Immediate hurdles are seen at 104.62 to 103.92 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’s biggest rail strike in 30 years kicked off as tens of thousands of staff walked out in a dispute over pay and jobs that could pave the way for widespread industrial action across the economy in coming months.
• U.K. Prime Minister Boris Johnson could this week lose two parliamentary seats that once illustrated his broad appeal, showing his declining popularity.
• Two key right-wing ministers in Israel’s outgoing coalition government vowed to prevent a comeback by former premier Benjamin Netanyahu as the country braced for a fifth election in three years with polling predicting no clear winner.
• Floodwaters inundated more of Bangladesh and northeast India, as authorities struggled to reach more than 9.5 million people stranded with little food and drinking water after days of intense rain.
• Two provinces in southern China upgraded warnings as floods reached record levels and rivers overflowed their banks.
• South Korea’s second test launch of its domestically produced Nuri rocket successfully placed several satellites in orbit, officials said, taking a major step in the country’s efforts to jumpstart its space program after a first test failed last year.
• U.S. President Joe Biden said that a decision on whether to pause a federal gasoline tax could come by the end of this week, as the United States struggles to tackle soaring gasoline prices and inflation, now at its highest in 40 years.
• Treasury Secretary Janet Yellen will announce the nomination of Mohegan Indian Tribe Lifetime Chief Marilynn Malerba as Treasurer, marking the first time a Native American’s signature will appear on U.S. currency.
• Germany faces certain recession if already faltering Russian gas supplies completely stop, an industry body warned, as Sweden joined a growing list of European nations rolling out emergency plans to cope with a deepening energy supply crisis.

Latest updates on Russia – Ukraine Conflicts:

• Russia summoned the European Union’s ambassador in Moscow, fuming over a rail blockade that has halted shipments of many basic goods to a Russian outpost on the Baltic Sea, the latest stand-off over sanctions imposed over the war in Ukraine.
• On the ground in eastern Ukraine, Russia’s separatist proxies said they were advancing towards Kyiv’s main battlefield bastion. A Ukrainian official described a lull in fighting there as the “calm before the storm”.
• Ukraine has detained a senior government official and a business leader suspected of being part of an alleged Russian spy network, the Security Service of Ukraine said.
• Ukraine is set to become an official candidate for European Union membership on Thursday in a symbolic but morale-boosting decision following Russia’s invasion, ministers and diplomats 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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