State of The Markets

Author: MFMTeam   |   Latest post: Thu, 11 Aug 2022, 9:21 AM


Dollar Jumped On Cash Demand

Author:   |    Publish date:


Dollar jumped on cash demand. US stocks closed mixed on Wednesday as Fed’s minutes revealed that the central bank is willing to hike further and risk recession if inflation persists. Dow (+0.23%), S&P (+0.36%) and Nasdaq (+0.35%) eked minor gains while  the small cap Russell (-0.79%) fell lower. Dollar jumped on cash demand as bonds lost bids sending yields higher across the board. The Dollar index closed above the 107 handle as the 10Y benchmark jumped back to 2.93%.

In the commodities market, recession fears and Dollar strength continue to weigh on major commodities with crude settled around $95.70/bl as New York closed. Gold traded lower to $1,738.65 while iron ore continued its downward trajectory to $112.40/tn.

In the FX space, short term traders were quick to bid the oversold Kiwi, Loonie and Aussie while offering Euro, Swiss and Sterling. Medium term accounts favored Kiwi over Swiss while long term investors remain in favor of Dollar, Swiss, Loonie and Euro.

On Thursday, markets expect another volatile and choppy session while waiting for earnings reports from Levi’s Strauss (LEVI), Helen of Troy (HELE) and WD-40 Co (WDFC) as well as the latest figures in US jobless claims and trade balance.

OUR PICK – No New Pick

We stay on the sideline. With markets gearing up for NFP and VIX at the uptrend line mark, circa 26.50, we decided to stay on the sideline for now.

For more high probability picks, please use our Trading Central services. 

Risk Disclaimer:

This article is for general information purpose only. It is not an investment advice or a solicitation to buy or sell any securities/oz. Opinions expressed are of the authors and not necessarily of MFM Securities Limited or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.


Share this

  Be the first to like this.

I3 Messenger
Individual or Group chat with anyone on I3investor

3588  6382  1191  1182 

Top 10 Active Counters
 TTOO 0.20+0.042 
 TMBR 0.15+0.042 
 TQQQ 35.95-0.55 
 DNA 3.40+0.27 
 ISBC 13.87-0.35 
 DIDI 2.29-0.07 
 SQQQ 36.34+0.51 
 NVTA 4.51-4.12 
 PACB 7.94+0.25 
 BNGO 3.38+0.38