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US dollar index fluctuates and falls, Federal Reserve Director Cook formally sues Trump
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Hello everyone, today XM Foreign Exchange will bring you "[XM Foreign Exchange Market Review]: The US dollar index fluctuates and falls, and Federal Reserve Director Cook officially sued Trump." Hope it will be helpful to you! The original content is as follows:
On August 29, in the early trading of Asian market on Friday, Beijing time, the US dollar index hovered around 98.14. On Thursday, the US dollar index fluctuated and fell, rebounding intraday as U.S. GDP and initial data were better than expected, but it ended up closing down 0.29% at 97.859. U.S. Treasury yields rose and fell mixed, with the benchmark 10-year U.S. Treasury yields closed at 4.209%, and the 2-year U.S. Treasury yields closed at 3.637%. As the market continues to evaluate the threat of the Fed's independence and waits for the release of key inflation data, spot gold rose for the third consecutive trading day, and once stood above the $3,420 mark at the end of the trading day, finally closing up 0.58%, closing at $3,417.08/ounce, a five-week high; spot silver closed up 1.18%, at $39.05/ounce. As the Russian and Ukrainian leaders had almost no hope of meeting, it hit hope for the peace process between the two countries, and international crude oil reversed its decline during the session, achieving two consecutive weekly positive momentum. WTI crude oil recovered the $64 mark and finally closed up 0.69% to $64.09/barrel; Brent crude oil finally closed up 0.68% to $67.62/barrel.
Analysis of major currencies
Dollar Index: As of press time, the US dollar index hovered at $97.90. The dollar index fell on Thursday and has not yet broken through key resistance levels. Meanwhile, traders' expectations for the Fed's interest rate cut next month continue to heat up. New York Federal Reserve President John Williams strengthens the "data-dependent" policy stance - According to data from London Stock Exchange Group (LSEG), the market believes that the Fed cuts interest rates by 2 at its meeting from September 16 to 17.The probability of 5 basis points has reached 89%, and the cumulative interest rate cut is expected to reach 55 basis points by the end of the year. Technically, the U.S. dollar index is trying to close below support level 98.00–98.20. If this attempt is successful, the U.S. dollar index will move to the next support level, which is in the range of 97.10–97.30.
Analysis of gold and crude oil market trends
1) Analysis of gold market trends
On Friday, gold hovered around 3413.82. Gold rose to a five-week high of $3,413 as traders dismissed the solid U.S. economic data, justified the current stance of interest rates being kept unchanged. However, safe-haven demand driven by the threat of Fed independence has supported gold and silver prices.
2) Analysis of crude oil market trends
Crude oilTrading is around 63.53. Oil prices closed higher on Thursday, rebounding from early declines after the White House said U.S. President Donald Trump was dissatisfied after learning that Russia had attacked Ukraine with missiles and drones overnight.
Forex market trading reminder on August 29, 2025
14:45French August CPI monthly rate initial value
14:45FF's second quarter GDP annual rate final value
15:00Swiss August KOF economic leading indicator
15:55German August seasonally adjusted unemployment
15:55German August seasonally adjusted unemployment
20:00German August CPI monthly rate initial value
20:30Canada June GDP monthly rate
20:30United States July core PCE price index annual rate
20:30 Monthly rate of personal expenditure in the United States in July
20:30 Monthly rate of core PCE price index in July
21:45 Chicago PMI in August
22:00 Final value of the University of Michigan Consumer Confidence Index in August
22:00 Expected final value of the one-year inflation rate in the United States
The next day 01:00 Total oil drilling in the week from the United States to August 29
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