The U.S. dollar strengthens against the Kiwi today as the United States is contemplating reopening the United States. No word yet how far President Donald Trump is willing to go to get the United States back open again. If he opens it too early then he risks the Coronavirus gaining a foothold which puts the United States back towards social distancing measures. If he waits too long then some businesses might not make it out of the economic slump caused by the Coronavirus. it seems like the forex market is betting in the short term that he will get the United States going earlier then was at first expected. President Trump also faces a campaign against challenger Joe Biden that is shaping up to be focused on how the Coronavirus and the economy is evaluated. There is also the threat that reopening poses to the African American community which has been hit hard by the Coronavirus.
The Japanese Yen gained strength over night against the New Zealand currency in what looks like a safe haven play. The forex market is awful right now due to the challenge that is presented in predicting currency movements. There are press conferences and Central Bank statements coming out on a regular basis which makes it hard to get a gauge on the forex market. I strongly support the virtues of currency speculation based on Fundamentals with a touch of technical analysis but under these conditions my strategy is under tremendous pressure to perform. It is not good and I think one of the keys to this situation is to get a better idea of what the United States looks like economically a few months from now. How will the Real Estate market be affected ? There is a tremendous amount of uncertainty right now which makes it hard for Central Bankers and speculators to make assumptions on the foreign exchange market.
The Japanese Yen gained strength over night against the New Zealand currency in what looks like a safe haven play. The forex market is awful right now due to the challenge that is presented in predicting currency movements. There are press conferences and Central Bank statements coming out on a regular basis which makes it hard to get a gauge on the forex market. I strongly support the virtues of currency speculation based on Fundamentals with a touch of technical analysis but under these conditions my strategy is under tremendous pressure to perform. It is not good and I think one of the keys to this situation is to get a better idea of what the United States looks like economically a few months from now. How will the Real Estate market be affected ? There is a tremendous amount of uncertainty right now which makes it hard for Central Bankers and speculators to make assumptions on the foreign exchange market.
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| Federal Reserve, President Donald Trump, Coronavirus |
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