The pound storms new heights

13.01.2021

In the interbank lending markets in London and New York, dollar interest rates are still near historical minimum, which points to a surplus of dollar liquidity in the financial system. Every week The US FRS increases the amount of dollars in the system and during such periods the growth of the American currency should not be counted on. The bullish rally in the oil market is also playing against the dollar. Investors are now actively buying up oil contracts for two reasons. Firstly, Saudi Arabia will cut production by 1 million bpd in February and March.
Secondly, tomorrow Joe Biden will announce new anti-crisis programs for few trillion dollars.

Investment idea: Buy 1.3647 / 1.3625 and take profit 1.3704.