The USD had an incredibly rough week in the market the week before last on mixed retail reports and little hope of gains offered by the Federal Reserve. Unfortunately, last week was no different as far as price movement went, the USD took a dive. However, when it comes to the reason for the dive, there were very big differences. This time around, a scandal with regard to President Donald Trump was the reason for the declines. Today, we’ll talk about that scandal, why it sent the USD downward, and what binary options traders should be watching for ahead.
A Donald Trump Scandal Sends The USD Downward
As mentioned above the USD had a rough week in the market last week as a scandal surrounding the current President of the United States, Donald Trump, started to hit the major news outlets. The allegations against the President suggest that he took action in an attempt to stop an investigation into United States General, Michael Flynn.
It all started when President Trump fired the FBI Director, James Comey. While the firing of Comey was largely expected, many now believe that Trump fired him for reasons that are unsavory. Last week, allegations came up suggesting that Donald Trump meddled in an investigation Comey was in charge of. The allegations came as colleagues reading Comey’s notes found something interesting.
Essentially, Comey’s notes suggest that Donald Trump pushed for Comey to end a Federal investigation into General Flynn. Only one line of these notes was released to the Of media, but that didn’t stop the frenzy. In the notes, Comey wrote that Donald Trump said the following in regards to the investigation into General Flynn…
“I hope you can see your way clear to letting this go, to letting Flynn go… He is a good guy. I hope you can let this go.”
Of course, the White House denied these allegations, offering their own statement…
“While the president has repeatedly expressed his view that General Flynn is a decent man who served and protected our country, the president has never asked Mr. Comey or anyone else to end any investigation, including any investigation involving General Flynn…”
What This Has To Do With The USD
At first glance, it may seem as though this political news has very little to do with the USD. However, that couldn’t be further from the case. The bottom line here is that the market doesn’t like uncertainty, and this scandal is leading to incredible uncertainty, ultimately causing the USD to take a dive.
The bottom line here is that the President of the United States may have overstepped his bounds in an attempt to end an FBI investigation. While this is all allegations at the moment, if proven to be true this is a big deal. In fact, it could lead to the impeachment of the President. Of course, this would lead to shock in the market, sending the USD down further. So, essentially, the USD is feeling the pain as the figurative CEO of the United States is bringing concerns into play.
What Binary Options Traders Should Be Watching For Ahead
Moving forward, binary options traders should continue keeping a close eye on the USD. At the end of the day, it is the world’s largest currency and consistently offering profitable opportunities. If you’d like to take advantage of these opportunities, all you’ll need to do is keep a close eye on the news. In particular, pay attention to the Trump scandal. Any updates to this news could lead to big movement in the market. Also, pay attention to economic data as it’s released. At the moment the United States seems to be in a slump, and if this slump continues, the USD could fall far further. However, if the economy surprises with positive data, we could see dramatic gains.
What Do You Think?
Where do you think the USD is headed moving forward? Join the discussion in the comments below!