First Domino for the Dollar Breakout Falls

The U.S. Dollar made a new 10-year high versus the Australian dollar today. If this holds, it is one currency down.
The most important domino and possibly the next to fall is the yuan. Here is USD versus offshore yuan CNH. Offshore yuan is 0.8 percent away from breaking 7.0.
Many China stocks were hit hard by the news of additional U.S. tariffs today. FXI broke an uptrend that goes back to the 2016 low.
As for the U.S. Dollar Index, the euro weighed today as it rallied. The will help bolster the yuan for now.

No comments:

Post a Comment