The value of the dollar value on the basket last week fell on the currency market.
The cause of the constant calls of the US President Donald Trump to reduce interest rates question the independence of the Central Bank.
The dollar index, which shows the value of the US towards the six most important world currencies, fell 0.8 percent last week, to 97.67 points. The euro exchange rate increased by about 1 percent, to $ 1,1740.
The American currency weakened in relation to Japanese, by 0.8 percent, so the price of the dollar slid to 147.65 yen.
After two weeks of growth, the dollar weakened last week because the investors are more pronounced by more risky investments. We remind you, the USA and Japan have achieved a trade agreement that will enable normal trading between those two countries in the next period.
Investors will be further optimistic, since the USA and the EU has reached the trade arrangement.
The independence of the FED and Trump pressures further press the dollar
Chinese and American officials would be on the weekly week, they should meet in Stockholm to discuss the extension of trade negotiations until 12. Augusta.
Thus, they subtrained the fears of investors from the escalation of the trade conflict between the United States and other countries. Therefore, currencies, which are considered a safer refuge for capital, weakened last week.
The dollar support provided, on the other hand, the data that shows that the U.S. economy grows stably. This means that the U.S. central bank should not rush in interest reduction because the economy is not necessary new incentives for a while, the FINANCE BA.
That is why there is no interest in interest on the session of the Fed next week than only in autumn.
This should positively affect the US currency. The dollar is under pressure because it is under pressure and Fed, given that Trump constantly criticizes the president of the Central Bank Jerome Powell and invites him to reduce interest.
This brings insecurity in the market to the dollar and calls into question the independence of the Central Bank.
Due to the vague, the Hirovite Trump Customs Policy Policy and the Pressure to the Central Bank, the value of the dollar basket has fallen since the beginning of the year more than 10 percent.
