TrendsWide
Contact US
  • Home
  • Trending
  • Health
  • Life Style
  • NBA
  • Reviews
No Result
View All Result
TrendsWide
  • Home
  • Trending
  • Health
  • Life Style
  • NBA
  • Reviews
No Result
View All Result
TrendsWide
No Result
View All Result
Home Economie

Should you buy US dollar index (DXY) in 2021 as inflation surges?

by souhaib
November 10, 2021
in Economie
0
74
SHARES
1.2k
VIEWS
Share on FacebookShare on Twitter
ADVERTISEMENT


You might also like

‘momentum is continuing into 2022’

Astra Space stock closed down 20% on Monday: here’s why

Ripple, Dogecoin, Litecoin price forecast for February 2022

The US dollar index (DXY) tilted higher on Wednesday after the US published strong consumer inflation data. The index rose to a high of $94.42, which was substantially higher than this week’s high of $93.88.

US inflation data

Consumer prices in the United States soared at the fastest pace in more than 30 years as energy prices and the ongoing supply shortage continued. 


Are you looking for fast-news, hot-tips and market analysis?

Sign-up for the Invezz newsletter, today.

According to the statistics bureau, the headline consumer price index rose by 6.2% year-on-year in October. This was the highest level since 1991. It was also higher than the median estimate of 5.8% by a panel of Wall Street economists. The CPI rose by 0.9% on a month-on-month basis.

Meanwhile, the core CPI, which excludes the volatile food and energy prices, rose from 4.0% in September to 4.6% in October. Again, this was a better number than the median estimate of 4.3%. 

These numbers mean that Americans are paying a substantially higher price for most of their basic needs. For example, gasoline prices have jumped to more than $4 per gallon in some states like California. 

This surge in prices has been attributed to several things. For one, the price of crude oil has surged to the highest level in more than 7 years. This is after OPEC+ maintained a policy to increase supplies at a relatively slower pace.

Meanwhile, natural gas prices have remained under pressure because of the ongoing Russian controls. Coal prices have also jumped sharply as companies have slowed down production and investments because of climate change policies.

Therefore, with the US inflation rising and the unemployment rate falling, the Federal Reserve has embraced a relatively hawkish tone. It has already started tapering its asset purchases. Therefore, with inflation soaring, there is a likelihood that it will maintain a more hawkish tone. 

US dollar index forecast

US dollar index

The four-hour chart shows that the US dollar index rose sharply and then erased some of its gains after the latest US inflation data. In general, the index has struggled to move above the key resistance level at $94.50. It is also slightly above the 25-day and 50-day moving averages. 

Notably, it has also formed an inverted head and shoulders pattern. Therefore, there is a likelihood that the price will soon bounce back. If this happens, the next key level to watch will be $95.

Where to buy right now

To invest simply and easily, users need a low-fee broker with a track record of reliability. The following brokers are highly rated, recognised worldwide, and safe to use:

  1. Etoro, trusted by over 13m users worldwide. Register here >
  2. Skilling, simple, easy to use and regulated. Register here >



Source link

Share this:

  • Twitter
  • Facebook
  • More
  • Pinterest
  • Telegram
  • Email
Share30Tweet19
Previous Post

Regular blood tests increase the chances of recovery for prostate cancer patients

Next Post

ZenX and Unizen partner with GEC on first crypto-funded mission to the moon 2021

souhaib

Recommended For You

‘momentum is continuing into 2022’

by souhaib
February 7, 2022
0

Shares of Chegg Inc (NYSE: CHGG) are up 10% in extended trading on Monday after the student services company said it performed better-than-expected in Q4, despite COVID-19 uncertainty....

Read more

Astra Space stock closed down 20% on Monday: here’s why

by souhaib
February 7, 2022
0

Read more

Ripple, Dogecoin, Litecoin price forecast for February 2022

by souhaib
February 7, 2022
0

The cryptocurrency market is advancing this Monday, and this situation also supports the price of Ripple XRP/USD, Dogecoin DOGE/USD, and Litecoin LTC/USD. Bitcoin is trading above the $44,000...

Read more

Analyst: ‘Apple would be forced into it if Amazon goes after Peloton’

by souhaib
February 7, 2022
0

Read more

Should I buy Uber shares in February 2022?

by souhaib
February 7, 2022
0

Uber Technologies, Inc. (NYSE: UBER) will announce fourth-quarter earnings results this Wednesday, February 09, after the market closes. Uber shares have weakened more than 10% since the beginning...

Read more
Next Post

ZenX and Unizen partner with GEC on first crypto-funded mission to the moon 2021

No Result
View All Result

Recent Posts

  • The offer of a famous actor that Michael Jordan rejected without blinking
  • Nancy Crampton Brophy: The author of ‘How to kill your husband’, convicted of… killing her husband | Society
  • Reporter presses Ted Cruz on why mass shootings only happen in America | Video
  • Guns have become the number one killer of young Americans
  • The Sao Paulo stock market follows the international trail and advances 1.18% By EFE

Browse by Category

  • Australia
  • Automotive
  • Business
  • Celebrity
  • Cryptocurrency
  • Deals
  • Economie
  • Education
  • Euro
  • Forex
  • Gaming
  • Health
  • Life Style
  • NBA
  • News
  • Reviews
  • Sports
  • Switzerland
  • Trending
  • U.S.
  • Uncategorized

Categories

  • Australia
  • Automotive
  • Business
  • Celebrity
  • Cryptocurrency
  • Deals
  • Economie
  • Education
  • Euro
  • Forex
  • Gaming
  • Health
  • Life Style
  • NBA
  • News
  • Reviews
  • Sports
  • Switzerland
  • Trending
  • U.S.
  • Uncategorized

Pages

  • Contact US
  • Newsletter
  • Privacy Policy
  • Terms & Conditions

© 2021 - TrendsWide

No Result
View All Result
  • Home
  • Contact US
  • Privacy Policy
  • Trending
  • U.S.
  • Economie
  • Deals
  • Reviews
  • Cryptocurrency
  • Health
  • Life Style
  • NBA

© 2021 - TrendsWide

loading Cancel
Post was not sent - check your email addresses!
Email check failed, please try again
Sorry, your blog cannot share posts by email.