Tuesday Briefing: From DXY to Russia – Ukraine Conflicts; June 07, 2022

US Dollar Index Overview

  • The DXY rises on Tuesday but remains well supported below 102.85 mark.
  • The intraday high is 102.83 and low at 102.45 mark.
  • A day Chart and H1 chart with triple EMA suggest up trend for the time being.
  • Immediate hurdles are seen at 102.85 to 102.50 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:

  • British Prime Minister Boris Johnson tried to shore up his leadership by setting out a raft of new policies to ministers after he narrowly survived a confidence vote that revealed the scale of the threat to his position. We look at what’s ahead for Johnson.
  • Foreign tourists visiting Japan will be required to wear masks, take out private medical insurance and be chaperoned throughout their stay, the government said, as it plans a gradual opening from two years of COVID-19 restrictions.
  • South Korea and the United States staged a joint air power demonstration during a visit by U.S. Deputy Secretary of State Wendy Sherman, who said there would be a strong and clear response if North Korea were to conduct a nuclear test.
  • The White House excluded Cuba, Venezuela and Nicaragua from the U.S.-hosted Summit of the Americas this week, prompting Mexico’s president to make good on a threat to skip the event because all countries in the Western Hemisphere were not invited.
  • Elon Musk warned Twitter that he might walk away from his $44 billion deal to acquire the social media company if it fails to provide the data on spam and fake accounts that he seeks.

Latest updates on Russia – Ukraine Conflicts:

  • Ukrainian troops were engaged in fierce street fighting with Russian soldiers in the industrial city of Sievierodonetsk, while other towns were under constant shelling, as the Kremlin pushed for control of the eastern Donbas region.
  • Sievierodonetsk has become the main target of the Russian offensive in the Donbas, comprising Luhansk and Donetsk provinces, as the invasion grinds on in a war of attrition that has seen cities laid waste by artillery barrages.
  • Russia’s defense minister said the Ukrainian ports of Berdyansk and Mariupol, seized by Russian forces, have been de-mined and are ready to resume grain shipments. Agricultural exports from southern Ukraine have been blocked since Russia invaded.
  • A U.S. court issued warrants for the seizure of two luxury planes owned by Russian billionaire Roman Abramovich while a Fiji court has ruled a Russian-owned superyacht be removed from the Pacific island nation by the United States amid legal wrangling over its seizure.

Source: Reuters

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

Take a look and do trade wisely!
Good Luck