Gmo Trading

Euro fell to $1.0929 this week. This is the minimum since May 2017. Analysts believe that the demand for the dollar will continue to grow in the coming months, while the euro may become even cheaper. The euro fell to a multi-month low against the dollar after the release of weak eurozone statistics. It reinforced investor expectations for a further cut in rates in Europe. The meeting of the ECB (European Central Bank) will be held next week, September 12. Markets expect that the Central Bank of Europe lowers its base rate by 20 basis points. Now it is -0.4%. Market participants estimate the probability of a rate cut by 80%. The Central Bank may lower interest rates as economic growth slows, and Germany’s GDP goes negative for the second time in a year. The depreciation of the euro also contributed to fears of a slowdown in global economic growth due to a trade conflict between the U.S. and China. September 1, the United States increased duties on Chinese goods for $300 billi...

Oil prices were mixed on Tuesday as the ongoing trade war between the U.S. and China weakened the markets, while South Korean data reinforced concerns about emerging markets and OPEC production growth. CLc1 in the U.S. fell by 21 cents (0.4%), to $54.89 per barrel, while Brent LCOc1 rose by 5 cents to $58.71 per barrel. This week, the United States set 15% tariffs on several Chinese goods, and China began to introduce new duties on the $75 billion target list, deepening the trade war, which has been going on for more than a year already. Donald Trump, the U.S. President, said that the two sides will still meet for talks later this month. It turned out on Tuesday that the economy of South Korea showed that during the second quarter the country's economy expanded less than was expected, as exports fell due to the trade dispute between the United States and China. Production of the Organization of the Petroleum Exporting Countries (OPEC) rose in August for the first month...

Presently, the dollar as a global reserve currency plays a huge role in the international economy. It often acts as a unit of account in transactions and plays a vital role in global stock markets. However, amid President Trump's trade war with China, central bankers begin doubting whether the dollar can maintain its status. Foreign traders invest in US bonds, the influence of the dollar on the world stage is growing. However, this should not be so. During the speaking at the Jackson Hole Economic Symposium, Mark Carney, Governor of the Bank of England, proposed replacing the US dollar as a global reserve currency with a "global alternative" to the US currency. Carney supported the idea of creating something that resembled Facebook's Libra cryptocurrency. He also wondered if the new global currency would "be best provided by the public sector, perhaps through a network of digital currencies of the central bank." A single global currency, which Car...