Thursday, 20 August 2020
- Dollar rebounds after Fed minutes coy on policy strategy
- Asia shares set to dip as Fed’s gloom snuffs out Wall Street cheer
- Oil slips as demand worries outweigh U.S. stocks draw
Major Currency Rates at 8:44 AM
The dollar clung to overnight gains on Thursday, after minutes from last month’s U.S. Federal Reserve meeting gave few clues about whether an even more dovish shift in its policy framework is possible in the autumn, disappointing some dollar bears.
A heavily shorted greenback put on its biggest one-day surge since March after the release, hitting 93.159 against a basket of currencies , about 1% above Tuesday’s two-year trough. The move wiped out earlier gains made by other majors.
USD / INR TECHNICAL LEVELS BASED ON DAILY CHART
|Support 1||74.58||Resistance 1||75.05|
|(Bollinger Band)||(50 Day Moving Average)|
|Support 2||74.38||Resistance 2||75.13|
|(Bollinger Band)||(Bollinger Band)|
Asian equities were set to follow Wall Street’s late session retreat on Thursday after the Federal Reserve warned the U.S. economy faced a highly uncertain path to recovery from the coronavirus-induced downturn.
Wall Street’s downbeat finish gave Asian markets a dour lead with Australian S&P/ASX 200 futures losing 0.25%, Japan’s Nikkei 225 futures down 0.15% and Hong Kong’s Hang Seng index futures off 0.08%.
Oil prices steady on Wednesday as concerns lingered over soft U.S. fuel demand while global producers feared a second prolonged wave of the coronavirus pandemic was a major risk for the market recovery.
U.S. crude oil stockpiles fell 1.6 million barrels last week, while fuel demand was down 14% from the year-ago period over the last four weeks. Brent crude futures settled at $45.37 a barrel, down 9 cents. U.S. West Texas Intermediate (WTI) crude ended 4 cents higher at $42.93 a barrel.
Disclaimer : All information in this report is collected from various sites on internet. The technical analysis is authors own views. We do not take any responsibility for any errors and omissions.