Market participants doubt the possibility of Donald Trump’s impeachment. The US House of Representatives voted on Wednesday to impeach President Donald Trump. The case will now advance to a trial in the Senate where the majority is represented by the Republicans. They are most likely to unanimously support Trump as he is a member of the party. The US dollar index is consolidating at its highs, trading sideways between the 97.30 and 97.50 levels. What is more, trade-deal optimism is waning away as investors did not get more details about the agreement. Both countries remain silent which is quite worrying for the market. The dollar/yen pair is also stuck in a narrow range near 109.60. Yesterday, there were a lot of signals that the pair would test the support level at 109.20 but the bears could not get the upper hand on the pair. Curiously enough, investors ignored the publication of the Bank of Japan meeting results. The regulator retained the interest rate at -0.10%. The bank also maintained it yield target for 10-year Japanese government bonds near zero percent. Overall, the rhetoric of the Central Bank
has remained unchanged. Judging by a sluggish market dynamic, it is necessary to revise the forecast for the dollar/yen pair and wait for the US dollar rally to the levels of 110.00 and 110.40. The Australian dollar did not fall to the expected level of 0.6815. Plus, Australia’s labor data turned out to be positive. Its quote was slightly up trading near 1.6880. However, the bearish bias remains weak and as a result, the Aussie is unlikely to move higher. In a best-case scenario, the chart will enter the sideways near the current levels. After the disappointing RBA Meeting Minutes, the strong jobs data improved market sentiment. The unemployment rate declined to 5.2% from 5.3%. The Australian economy added 39,900 new jobs. Traders hope that upbeat labor data will lower the chance of an additional interest rate cut by the Reserve Bank of Australia at its next policy meeting in February. That’s all for now! We wish you profitable deals! See you on our channel in a couple of hours!