Trump: OPEC is guilty of high oil prices

US President Donald Trump has made another accusation. This time, he blamed OPEC for high oil and fuel prices. And no doubt, most Americans probably think the same way.
Oil has risen more than twice since the beginning of 2016, after reaching levels of less than $30 at that time. And to date, US consumers are facing the highest fuel prices at petrol stations in 2014.
On Wednesday, the price of a gallon of normal fuel was at an average of 2.91 dollars, or an increase of 25%, a year earlier, according to AAA data.
The price of oil is too high, OPEC is behind that. It's not good, tweeted Donald Trump on Wednesday morning.

Oil rises after Trump withdraws from the deal with Iran

Oil rose during the Asian trading session after President Donald Trump announced that the US would withdraw from the nuclear agreement with Iran and re-sanction the country. This has led to an increase in oil prices.
US crude oil rose $1.58 to $70.64 a barrel after it fell by 1.67 dollars to 69.06 dollars a barrel on Tuesday. Brent rose 1.85 dollars to 76.70 dollars a barrel, after losing the previous day of 1.32 dollars.
Meanwhile, the Japanese Nikkei 225 fell 0.4 percent to 22 412.96 points, while the South Korean leading index lost 0.1 percent of its value. Hang Seng, Hong Kong, added 0.5% to 30 552.57 points.
According to market observers, geopolitical risks are rising, especially related to Iran and the price of oil.

Trump failed the cryptomarkets

Major cryptocurrencies on Wednesday are falling in price, as world markets are in turmoil after US President Donald Trump broke off a nuclear deal with Iran. At the same time, after a significant collapse on Tuesday evening, on Wednesday, the rate of decline of the cryptocurrencies has slowed somewhat and, probably, in the short term it will be already on such significant levels.
The bitcoin rate declined 0.13% overnight, to $9,112 with a capitalization of $155.7 billion. The rate of Litecoin was weakened by 3.25% to 154.6 dollars with capitalization $8.7 billion. Ethereum at the same time dropped by 1.16% to $725.8, its capitalization is $72.4 billion. The rate of Ripple fell by 2.5% overnight, to $0.78 with a capitalization of $30.6 billion. The total market capitalization of the cryptocurrencies reached 422.3 billion dollars.

Gold with a six-week high yesterday, tested $1,300

The price of gold has fallen today, albeit keeping close to its highest level in six weeks since yesterday's session. This happened after Powell initiated a further raise in interest rates before the Trump Senate Tax Reform vote.
The spot price of gold lost 0.1% of its value to a level of $1,293 per ounce. Yesterday, gold reached a momentum of $1,299 per ounce, or the highest level since October 16.
According to political analysts, North Korea may be preparing to launch new ballistic missiles soon. Such actions would have a positive impact on the price of gold.
Gold is also very sensitive to the interest rates and the US Dollar exchange rate. Traditionally, it is cheaper when the dollar strengthens, or more aggressive on interest rises.
Speculators have lowered their long positions in gold and silver futures in the week to November 21.

The Fed secretly targets bearish market?

Although it is independent, the Fed may secretly want to cause a "bearish market", or a drop in stock markets, which is a hit in the back for the President Trump. Trump does not stop tweeting about the new index records that make Americans richer.
According to Peter Schiff, CEO of Euro Pacific Capital, Yellen's support for the markets may disappear during Trump's term.
"I do not know if the Fed has a lot of love for President Trump," Schiff said, adding that the Fed supported the stock markets during Obama's two mandates.
"Perhaps the Fed will be glad to see a bearish market, which is likely to fall on Trump," said Schiff, according to which the market can easily make a correction by 20%.
As one of the "black swans" that could initiate such a correction, Schiff points to a dent in the euphoria associated with the new president, who helped launch the indexes to new records.
With respect to the two consecutive quarters of growth in US companies with double digits, Schiff pointed to the difficulties in the profits of US retail chains.
Of course, all investor glances will be focused on consequences of Fed's decision, made this week and commentary on the Federal Reserve regarding its future policy. The latter will most likely have a strong impact on the financial markets and will give more clarity to investors, what to expect in the months to the end of the year.

Dow with the 10th consecutive historic record

The Dow Jones blue chip index rose slightly yesterday, recording its 10th consecutive record-breaking level. The booming shares of Boeing, Goldman Sachs and Walmart have paved the way for the index.

Since the beginning of the year, the indicator has risen by 12%, and since the election of Trump for president, the growth already stands at over 20%.

Investors have focused heavily on strong corporate results and not so much on Trump's results after his first 200 days as President. According to market experts, this may continue in the future.

Protective assets are back in fashion (2)

Moreover, in the event of a Trump failure, the sales on the stock exchanges will activate and can be transformed into a tangible drawdown, especially given that the indices fall from record highs. Against this background, players will continue to show interest in the Japanese yen and gold. The precious metal, which rallies over the past six trading days has almost actually played the fall, which started in late February and reached its highs on March 1 at around 1249.33.
The development of the current trend on world markets is able to send gold quotes above 1250, and USD/JPY in this case risks targeting the lows on November 22 last year at 110.25.

Protective assets are back in fashion (1)

These days the prolonged rally of the US stock market was interrupted and resulted in a mass avertion from risky assets in all trading floors of the world. In these conditions, the Japanese yen naturally became the beneficiary and updated the highs of the current year paired with the dollar. USD/JPY has been falling continuously for the seventh day in a row, and today the quotations reached an important support level at 111.00, the breakdown of which will open the way to new records.
Investors are showing concern about the implementation of the plans of the Trump's administration. Tomorrow will be a fateful vote on the abolition of health care reform. And the importance of this event for the markets is that the outcome of the vote will show how successful Trump initiatives will be in the future. Especially the players are concerned about the future of the promised fiscal incentives and tax reform. So, at least until the results of discussion of healthcare reform in the markets are announced, the current tension will remain, and the protective assets will continue to be in demand.

The dollar is trading close to a 7-week low

The dollar is trading close to a 7-week low against a basket of other major currencies amid lingering concerns about the protectionist policies of Donald Trump.
The US Dollar Index, which shows the value of the dollar to a trade-weighted basket of six major currencies rose by 0.9% to 100.01 (after yesterday's low of 99.77 - the lowest value since December 8).
The decline of the dollar index reflects a concern about the uncertain Trump's economic policy, as well as fears that his protectionist stance can reduce corporate earnings and become a brake on economic growth.
On Wednesday, Trump confirmed plans to build a wall on the border with Mexico and has taken preparatory measures to combat illegal immigration.
The dollar rose against the yen: USD/JPY rose by 0.32% to 113.66, holding above a 7-week low of 112.51, recorded on Tuesday.
EUR/USD is down by 0.12% to 1.0737, close to a 7-week low of 1.0773 on Tuesday.
Pound updated 7-week high against the dollar. GBP/USD has risen by 0.21% to 1.2660.

The dollar fell because of concerns about Trump's protectionist measures

The dollar was held near seven-week lows in Asian trade on Tuesday under pressure from investors' concerns about the possible impact of protectionist position on trade of the US President Donald Trump.
The dollar index by 5.20 GMT increased by 0.1 percent to 100.070 after falling to 99.899 on Monday - the lowest level since Dec. 8.
The dollar against the yen gained 0.1 percent to 112.78, but earlier reached the level of 112.52 - the lowest level since 30 November, much below the maximum of 114.45, reached at night.
Trump on Monday formally brought the United States out of the Trans-Pacific Partnership Agreement (TTP), distancing America from its Asian allies. He also said that he intends to revise the North American Free Trade Agreement (NAFTA).
The negative impact on the dollar has also had a decrease in yields on US bonds. Yield on indicative 10-year Treasury bonds showed a biggest of more than two weeks in a one-day decline, as fears about the consequences of a tough stance of Trump on trade increased demand for safe bonds.
The euro fell by 0.1 percent to $ 1.0753, earlier reaching $1.0774 - the highest value since December 8th.

The dollar is losing ground after the speech of Yellen, investors are waiting for the inauguration of Trump

Dollar lost momentum on Friday as the speech of the Fed's Janet Yellen of the gradual rise of interest rates was less harsh than expected. Investors are watching for the upcoming inauguration of Donald Trump on Friday.
The dollar index fell by 0.10 percent by 5.55 GMT to 101.050 points. The US currency has lost about 0.2 percent for the week.
The dollar moved away from the peak after the speech by the US Federal Reserve chairman Janet Yellen, which came in the early trading in Asia.
Yellen said that US regulators should continue to slowly raise rates to preserve the economy from the low inflation and employment, so as not to damage the economic recovery, the Fed is keen to support.
Now investors expect the inaugural speech of Donald Trump, in which they will be looking for indications of upcoming changes.
The dollar fell against the yen by 0.04 percent to 114.81 yen, heading for weekly increase by 0.2 percent.
The euro gained 0.08 percent to $1.0673, securing growth after the European Central Bank statements. For a week the single European currency has strengthened by 0.3 percent.
The ECB said yesterday that they will continue the policy of negative interest rates and buying up assets to stimulate growth.
The euro briefly fell during a press conference of ECB President Mario Draghi, who spoke about the decaying inflation and the need to further esing in Europe.
The euro fell to $1.0589 during Draghi's speech on Thursday, but later recovered after the words of the head regulator about the absence of policy changes.

USD/CAD

At the end of yesterday's trading session, Canadian currency suffered significant losses, which couldn't help even the decision of the Bank of Canada to keep the main interest rate unchanged at 0.5%. The pressure on the currency strengthened by regulator's comments regarding the low inflation, as well as the negative effects of the high currency rate with which it's harder to fight for domestic producers. It should be noted that the pair USD/CAD had a reasonable basis for the growth without soft rhetoric of the Bank of Canada. The main reasons due to which the Canadian risks continue to remain under pressure, is the contrast of the monetary policies of the Bank of Canada and the United States, a significant yield spread between bonds of these regions, the probability of keeping the correctional dynamics of the oil market, as well as the risk of revision of NAFTA agreement after Trump will take over as US president. The greatest potential impact on the USD/CAD pair is in the last two factors. Oil has traded in the local minima, and, apparently, plans to continue its downward rally. As for Trump, after the inauguration the market can receive the first signals of implementation of trade reforms, about which so much said Trump during his election campaign.

The yen has fallen, Trump raised fears about a possible trade war

The dollar rose against the yen on Friday during the Asian trading session, after US President-elect Donald Trump on Twitter criticized the largest Japanese car company, prompting fears of a possible trade war between the United States and the leading Asian trading partner.
"Toyota Motor said will build a new plant in Baja, Mexico, to build Corolla cars for U.S. NO WAY! Build plant in U.S. or pay big border tax," Trump said in a post on Twitter. USD/JPY was trading at 116.19, gaining 0.72%.
Yesterday, the US dollar has fallen relative to other major currencies, after the minutes of the last meeting of the Federal Reserve pointed to the uncertainty about the possible consequences of the economic policies of the future Trump presidency.
The index reached its highest level in 14 years on Tuesday as strong performance in the US manufacturing strengthened expectations about the high rate of monetary tightening in 2017.
But the dollar came under pressure on Wednesday after the Fed's minutes, which were held on December 13-14, showed that officials noted "considerable uncertainty" about the policy of President-elect Donald Trump.
Trump takes office on Jan. 20, and so far has not voiced the details of his economic policy.

Trump's Advisor: We can do without a wall on the border with Mexico

Foreign policy adviser of the future US President Donald Trump has called into question the embodiment of one of Trump's key and symbolic promises for wall on the border with Mexico and said that it is less expencive to build a fence.
"I do not think we need to break swords about the differences between a wall and a fence," - said on Friday James Woolsey, who headed the CIA in the presidency of Bill Clinton, the husband of the recent Trump rival in the election.
"It may even be cheaper. And then, even though the fence, but it's a good fence I do not see any problems", - Said Woolsey in an interview with the Wall Street Journal and CBS television.
The world and the markets were shocked by the unexpected victory of the candidate, whose campaign has been surrounded by scandals and insults and was based on promises not only to reduce taxes, but also to prosecute illegal immigrants, which in the United States consist mostly of Mexicans. The peso fell to a record low on news of Trump won, as investors worried about the implemention of Trump's protectionist promises, full with problems for the Mexican economy.
Billionaire castigated Mexican immigrants, and even during his trip to Mexico and meeting with its president, promised to build a wall on the 3,200-kilometer border and make Mexico to pay for the project itself.
But after a personal contact on Thursday with outgoing President Barack Obama in the White House, Trump changed his tone. He expressed willingness to maintain some of the provisions of health insurance reform, which earlier promised to abolish, and his advisers are sending reassuring signals to allies abroad, worried by the election rhetoric of the Republican candidate.