Dollar rates updated minimum on the interbank market

12.05.2021

Annual dollar interest rates on the interbank market in London have renewed their historical minimum again, which will put pressure on the American currency rate. In the afternoon, the United States will publish a report on inflation for April, where the indicator should be expected to rise against the background of last year’s low base.

Inasmuch as the Federal Reserve plans to keep the interest rate in the range of 0-0.25%, the rise in inflation contributes to the growth of the negative real interest rate, which will force investors to sell the US dollar and go to more profitable assets.

Trading recommendation: Buy 1.4103/1.4085 and take profit 1.4165.