According to Sean Callow, analyst at Westpac, the mood over US-China trade has obviously improved quite a bit but US data has not really encouraged recession talk lately.
“After the dismal sub-50 print on the Aug manufacturing ISM, the key Aug services sector reading was a great relief, the ISM bouncing to 56.4 (vs 53.8 in China, 53.5 in the Eurozone).”
“Resilient growth but sub-target inflation and ongoing international political risks argue for a 25bp cut with no explicit commitment to further easing. This should leave DXY higher on the week, probing above 99.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.