The US dollar index is trading near 101.00. Today, traders await the results of the US Federal Reserve meeting. It is likely that the regulator will increase its interest rate by 25 basis points to 5.5%. Even more traders are interested in the Fed’s further actions, which the regulator can clarify at a press conference after the meeting. Market participants believe that the signs of cooling of the labor and real estate markets, as well as weak domestic demand, indicate the need to complete the cycle of monetary tightening not to create more pressure on the economy. If expectations come true and the Fed ends the rate hike cycle, the dollar’s decline may continue.
SELL LIMIT 101.50/TP 100.50/SL 101.80
GBP/USD
The British currency is consolidating near 1.29. Despite a decline in the UK consumer price index in June, analysts are confident that in the future the index will slow down at a slower pace than initially expected, due to the continued high cost of food and energy. This year inflation is expected to reach the level of 7.6%, which may force the Bank of England to raise the key rate at least three times. The next meeting of the regulator will be held next week. Given that the rate can be increased by 50 basis points, the pound may resume bullish momentum.
BUY STOP 1.2920/TP 1.3020/SL 1.2890
BRENT
Brent is trading at $82.70. Prices are supported by restrictions on the supply of oil and petroleum products from Russia, as well as the decision of OPEC + members to reduce quotas for the production of “black gold” by 1.6 million barrels per day starting from January 2024. Earlier, analysts at the Goldman Sachs investment bank projected a record demand in the fuel market in the second half of the year, which could lead to an increase in Brent oil prices to $86 per barrel. Today, data on US oil inventories will be released. Stockpiles are expected to have fallen by 2 million barrels last week. In such a scenario, oil will have an additional reason for growth.
BUY LIMIT 82.00/TP 84.00/SL 81.30
