USD continues a bearish trend in global markets, down 1.8% MOM. Currency market investors were neglectful to the utterances of the Chair of the Federal Reserve about the desirable outlook of U.S. economy and employment.
Analysts believe that even if U.S. economy grows, Federal Reserve has no plan to increase dollar interest rate so USD will not be strengthened.
Uncertainty in trade war between U.S. and China is also another cause of USD weakening, showing that U.S. economy unexpectedly is suffering from instability in foreign trade. The cold war forced Federal Reserve to decrease USD interest rate which may be continuous.
