News

Dollar Shines, Euro Droops

After a Federal Reserve member hinted that the first interest rate boost since the pandemic could come as early as March, the US currency hovered near its best level against major peers since July of last year.

The euro fell alongside the British pound after the Netherlands declared a state of emergency on Sunday.

The World Health Organization reported that the number of Omicron cases is doubling every 1.5 to 3 days in areas of the world where community transmission exists. Fed Governor Chris Waller said that an interest rate hike is likely “shortly after” the bank ends its bond purchases in March.

The main concern is central bank policies; Omicron headlines could be a red flag for position squaring.

The US dollar, which is a haven, has risen to its highest level since December 15 against the euro, sterling, and the risky Australian dollar.

The dollar fell slightly against the yen, but it is still trading near the middle of its three-week trading range. Ten-year US Treasury rates, closely linked to the dollar-yen exchange rate, remained close to a two-week low set on Friday.

New York, Fed President John Williams said that by ending bond purchases by March, the Fed will gain optionality to raise rates in 2022.

Money markets have a 50-50 chance of a quarter-point increase by March.

Euro/Dollar

$1.1245 -7.94 percent $1.1236 +0.10 percent +1.1255 +1.1235 +1.1255 +1.1235 +1.1255 +1.1235 

Dollar/Yen

113.5950 113.7400 -0.12% +9.98% +113.6500 +113.5400 113.7400 -0.12% 113.7400 -0.12% 113.7400 

Euro/Yen

127.75 127.77 -0.02 percent +0.65 percent +127.8200 +127.6200 +127.8200 +127.6200 +127.8200 

Sterling/Dollar

1.3232 +0.02 percent -3.13 percent 1.3233 +1.3243 +1.3225 +1.3243 +1.3225 +1.3243

Support

Platform

Spread

Trading Instrument

Subscribe to our newsletter

Get the latest economy news, trading news, and Forex news on Finance Brokerage. Check out our comprehensive trading education and list of best Forex brokers list here. If you are interested in following the latest news on the topic, please follow Finance Brokerage on Google News.

ForexForex MarketsForex newsUS dollar

What's your reaction?

Excited
0
Happy
0
In Love
0
Not Sure
0
Silly
0

You may also like

Leave a reply

Your email address will not be published. Required fields are marked *

More in:News