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John Wang
in
Forex
June 1 19:00

Market optimism drives the traders away from the US dollar

Early recovery helps commodity currencies. 
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US dollar entered a selling wave during early trading in Europe on June 1. The investors are gradually embracing risks and are turning away from safe-have investments.
By 06:50 GMT the US Dollar Index lost 0.4% and stood at 97.957, touching its lowest position in the last 11 weeks earlier. USD/JPY lost 0.2%, reaching 107.59.
According to the analysts of the Commonwealth Bank of Australia, most traders believe that the worst part of the crisis is now over and act accordingly. The current early stage of the recovery process reinforces commodity currencies and suppresses the US dollar.
Market participants are also relieved by the recent development of US-China tensions. President Trump revealed that he is not planning to cut the first phase of the trade deal. The United States will likely terminate the special status of Hong Kong, which is still bad, yet not as detrimental as the new trade war.