The index concerned with measuring the dollar against a basket of currencies (Dollar Index) is losing for the second consecutive session in the middle of the European session today, Tuesday, the first of February, before the opening of the American markets, by trading at 96.32 levels, a loss of about 0.32% and about 0.90% since the beginning of the week yesterday, Monday, coinciding with the decline in market expectations.

About raising US interest rates by 50 basis points at the Fed meeting in mid-March. Despite pricing the markets and futures contracts to raise interest rates at the meeting of the 16th of next March, by 25 basis points, and it has become a sure process in the markets, expectations that the US Federal Reserve will raise interest rates by 50 basis points from more than 24% to about 11% since the beginning of the week, and this What constitutes pressure on the US dollar, as a quarter point hike in the March meeting became fully priced in the markets.

The statements of the US Fed members (Esther George, Dudley and Burkin) since the beginning of the week greatly contributed to the decline in these expectations, as the three members indicated that they prefer that the Fed wait and see the impact of Omicron on the economy after the first hike in March, and to see how the economy responds to the first move and that the data that will be released Later on, you will play a role.

Another thing that has pressured the dollar’s ​​movements since the beginning of the week is the market’s expectations that the employment reading for the month of January will come below expectations due to the repercussions of the Omicron mutator in this period.

The January figures, where millions left work temporarily due to illness or to care for a family member, and therefore the numbers may not be accurate under these circumstances, and therefore the negative impact may extend to the US dollar.

On the other hand, Goldman Sachs reduced its forecast for the growth of the US economy in the current year 2022 to 3.2%, compared to 3.8% in its previous estimates in December, as the bank indicated that the US economy will be affected by the erosion of financial support and that the impact of Omicron will be strong on spending and services and will extend from supply chain disruptions

The euro is one of the biggest beneficiaries against the US dollar, trading at levels of 1.1260, up more than 100 points, while the Australian dollar leads the commodity currencies, the highest, trading at 0.71 levels, gaining more than 100 points since the beginning of the week.

The yellow metal, in turn, regained during the morning the levels of 1800 dollars, to trade now at 1805 dollars per ounce, up by about 0.58%.