Global macro analysis for 28/11/2018

Donald Trump, in an interview for the US newspaper, said he blamed the head of FED Jerome Powell for the problems of General Motors and the company's decision to close some of the factories and mass redundancies. According to the American president, an increase in interest rates has hurt the economy. He also added that he regretted Powell's appointment as head of the FED: " I do not blame anyone, I just say that the FED's actions are completely out of place" Trump commented. He also added that in his opinion, the Federal Reserve is not trying to help him and works to the detriment of his policy. Later he added: "I am trying to solve some problems and the FED is on my way. This institution is making a big mistake, because I have some feeling, and I know from experience that they give me more time than I can give to the best mind".

This is not the first Trump attack of its kind on the FED. In October, he said that the American central bank was "crazy", and called its members "loco", or from Spanish "madmen".

Let's now take a look at the US Dollar Index technical picture at the H4 time frame. The market is pushing higher towards the level of 97.69, but so fat the local high was made at the level of 97.51 and then the price reversed a little towards the level of 97.30. The golden trend line looks to be tested now from the upside. Nevertheless, the bounce is expected to happen any time now as the momentum is still strong and positive despite the oversold market conditions. The nearest support is seen at the level of 97.03.


The material has been provided by InstaForex Company -