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07.11.201813:36 Forex Analysis & Reviews: Dollar can compensate for electoral losses report FOMC

Análisis a largo plazo

Exchange Rates 07.11.2018 analysis

Today, the dollar is losing relative to the yen and is growing against the background of the euro due to the extreme uncertainty of the market and the inability of investors to unambiguously assess the results of the midterm elections in the United States, which will result in the division of the US Congress between the two parties. Such a situation threatens a political crisis in the United States and Trump's inability to pursue his policy of supporting the US corporate sector. If analysts 'estimates and traders' concerns are confirmed, then the US stock market may go down, followed by the dollar.

However, this week, the dollar may level its electoral losses by publishing the latest minutes of the Open Market Committee (FOMC) meeting, which is scheduled to take place on Thursday. It is expected that the Fed will confirm the intention to tighten its monetary policy by increasing the base rate to 3% by the end of 2019.

Fedor Pavlov,
Analytical expert of InstaSpot
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