The Dow Jones Industrial Average (DJIA) knocked lower on Tuesday, following the broader market into the low side. Investors are reconsidering their disregard for the US government shutdown that has dragged into its second week and shows no signs of resolution.
The US Dollar (USD) remains well supported with broad gains against all of the G10 currencies, building on Monday’s strength in an environment of elevated political uncertainty in the US and France, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.
The US Dollar Index (USD) has gone a little bid this week – largely down to the weakness in the yen, which has a 14% weight in the DXY. At the same time, the dollar is an expensive short position given its 4.15% per annum one-week interest rate.
Dow Jones futures edge down by 0.24% to trade below 46,850 during European hours on Tuesday, ahead of the regular session opening in the United States (US). The S&P 500 futures decline 0.13% to remain below 6,800, while Nasdaq 100 futures fall 0.11% to trade around 25,150.
US Dollar (USD) traded subdued overnight in absence of key data. DXY last seen at 98.38 levels, OCBC's FX analysts Frances Cheung and Christopher Wong note.
The US Dollar has shrugged off concerns about the US government shutdown and expectations of Federal Reserve monetary policy easing, to appreciate for the second consecutive day.
The Dow Jones Industrial Average (DJIA) struggled to keep its footing on Monday, kicking off the new trading week opening at record highs above 46,800. The Dow slipped early on Monday after investors briefly showed frayed nerves, but general market sentiment continues to drift into the high side.
Due to the US government shutdown, there is a foreseeable lack of numerous official US statistics, both for the labor market and consumer prices.
Weekend news suggests very little progress towards ending the US government shutdown, which means further delays in government-issued data. This will probably be another abnormal week in FX, with the pause in most data releases meaning an outsized focus on other macro news.
There are still no Federal data releases due to US government shutdown. This puts emphasis on private sector data and Fedspeaks. DXY last seen at 98.43 levels, OCBC's FX analysts Frances Cheung and Christopher Wong note.
Dow Jones futures added 0.13% to trade around 47,100 during European hours on Monday, ahead of the regular session opening in the United States (US). The S&P 500 futures gain 0.27% to remain above 6,750, while Nasdaq 100 futures rise 0.45% to trade around 25,100.
The US Dollar Index (DXY), an index of the value of the US Dollar (USD) measured against a basket of six world currencies, trades on a positive note around 98.05 during the Asian session on Monday.
The Dow Jones Industrial Average (DJIA) caught a firm bid on Friday, rising 482 points, or 1.04%, bottom-to-top. The Dow briefly pierced the 47,000 major price handle for the first time ever, before easing back to a more sedate +300 points (0.65%) on the day.
The US Dollar (USD) fell a little Wednesday on the back of the soft ADP report but rose more significantly yesterday after an obscure private sector report (Revelio Labs anyone?) report apparently suggested the NFP data would show an above consensus outcome of a gain of around 60k in jobs, Scotiaban
Traded volatility is falling across financial markets. Investors have settled into the view that the Fed will likely cut rates twice more this year and probably another 50bp in 2026.
The US Dollar (USD) is trading heavy within its recent range as narrowing US-G6 rate spreads cap relief rallies. With payrolls sidelined by the government shutdown, today’s ISM services print will guide near-term sentiment, BBH FX analysts report.
Dow Jones futures edge up by 0.20% to reach 46,900 during European hours on Friday, ahead of the regular session opening in the United States (US). However, the S&P 500 futures rise 0.25% to trade above 6,750, while Nasdaq 100 futures gain 0.30% to trade near 25,200.
The US Dollar Index (DXY), which measures the value of the US Dollar (USD) against six major currencies, is holding ground after registering gains in the previous session and hovering around 97.90 during the early European hours on Friday.
The US Dollar Index (DXY), an index of the value of the US Dollar (USD) measured against a basket of six world currencies, trades on a negative note around 97.85 during the early Asian session on Friday.
The Dow Jones Industrial Average (DJIA) flattened on Thursday, sticking close to the 46,500 region as equity markets hunker down to wait out the US federal government’s shutdown.
The United States’ (US) federal government officially shut down on Wednesday as lawmakers failed to pass funding by the deadline. Following a second round of voting, the Senate rejected House Republicans’ stopgap bill to restore funding.
According to the ADP employment survey, 32,000 jobs were shed in the US in September. This was a stark contrast to expectations from a Bloomberg survey, which had forecast a gain of around 50,000 jobs.
US Dollar (USD) continued to trade near recent lows as ADP employment underwhelmed. DXY last seen at 97.57, OCBC's FX analysts Frances Cheung and Christopher Wong note.
USD remains under downside pressure against most major currencies. Global equity markets continue to edge higher while bond markets are treading water. The September US Challenger job cut announcement data is today’s highlight (12:30pm London, 7:30am New York), BBH FX analysts report.
Dow Jones futures hover near 46,700 during European hours on Thursday, ahead of the regular session opening in the United States (US). However, the S&P 500 futures advance 0.17% to stay above 6,750, while Nasdaq 100 futures rise 0.37% to break above 25,100.
The US Dollar Index (DXY), which measures the value of the US Dollar (USD) against six major currencies, is extending its losses for the fifth successive session and trading around 97.60 during the European hours on Thursday.
The US Dollar Index (DXY), which tracks the Greenback against a basket of currencies, struggles to capitalize on the overnight bounce from a one-week low and oscillates in a narrow band during the Asian session on Thursday.
The Dow Jones Industrial Average (DJIA) churned the chart paper on Wednesday, facing pre-market and early hour losses before recovering its stance enough to hold close to the 46,500 level.
US lawmakers failed to reach a last-minute deal on funding the government last night, triggering the first federal shutdown in close to seven years.
The US government has officially shutdown. USD and US equity futures are down. If the shutdown is brief, the Fed will ignore it. However, a prolong shutdown (more than two weeks), increases the downside risk to growth and raises the likelihood of a more accommodative Fed.