The dollar was still in a weak position yesterday after suffering its biggest daily decline since March at the end of last week. Positive US-China trade-war news and a more optimistic outlook for the global economy has reduced dollar demand and caused it to drop.
Despite an apparent easing of tensions between the US and China, tensions between the US and Iran could be escalating after the US conducted air strikes in Iraq and Syria yesterday. The air strikes were launched against an Iran-backed Iraqi militia blamed for an attack that killed a US civilian contractor.
They’ll be a series of data releases for the US today, including the Redbook index, which measures same-store sales growth in a sample of large US retailers. Pending Home Sales were released yesterday, showing that contracts to buy previously-owned homes in the US climbed 7.4% from a year earlier in November 2019, above market expectations of a 5.8% gain.
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