FXOpen Broker

10+ years’
experience in FX

VISIT WEBSITE

Trading Accounts

ECN, STP,
Micro, Crypto

START TRADING

Free Demo

Practice Forex trading
risk free

OPEN DEMO ACCOUNT

PAMM Technology

Become a Master
or a Follower

JOIN PAMM SERVICE
Results 1 to 1 of 1

Thread: Dollar Down, but Near Year High as Investors Await Fed’s Next Taper Move

  1. #1
    Moderator cool user Resolve's Avatar
    Join Date
    Mar 2012
    Location
    India
    Posts
    45,789
    Thanks
    6,298
    Thanked 2,690 Times in 1,572 Posts

    Lightbulb Dollar Down, but Near Year High as Investors Await Fed’s Next Taper Move

    Dollar Down, but Near Year High as Investors Await Fed’s Next Taper Move


    The dollar was down on Wednesday morning in Asia but held near a one-year high amid rising speculation that the U.S. Federal Reserve will announce the beginning of asset tapering in November 2021, followed by potential interest rate hikes by the middle of 2022.

    The U.S. Dollar Index that tracks the greenback against a basket of other currencies edged down 0.20% to 94.332 by 11:17 PM ET (3:17 AM GMT). It touched 94.563 for the first time since late September 2020 on Tuesday.

    The USD/JPY pair edged down 0.13% to 113.45.

    The AUD/USD pair inched down 0.07% to 0.7344 while the NZD/USD pair inched up 0.10% to 0.6940.

    The USD/CNY pair inched up 0.02% to 6.4475. Chinese trade data, including exports, imports and trade balance, is due later in the day while inflation data, including the consumer and producer price indexes, will be released on Thursday.

    The GBP/USD pair was up 0.23% to 1.3617.

    Three Fed officials, including Vice Chairman Richard Clarida, said on Tuesday that the U.S. economy has healed enough to begin to scale back the U.S. central bank's asset-purchase program. Money markets are now pricing about a 50-50 chance of a rate increase by July 2022.

    Meanwhile, surging energy prices continue to fuel inflation concerns and increased bets that the Fed could normalize its monetary policy much sooner than planned, sending two-year Treasury yields to their highest levels in more than 18 months during the previous session.

    Investors now await the U.S. consumer price index, due later in the day, for clues to the Fed’s interest rate hike timeline.

    "CPI is the main economic draw" and "has the potential to see Fed rate hike expectations move again, one way or another," National Australia Bank (OTC:NABZY) head of foreign exchange strategy Ray Attrill told Reuters.

    With most Fed policymakers insisting that inflationary pressures are transitory, investors now await comments from Fed Governors Lael Brainard and Michelle Bowman, among others, due to speak later in the day. The central bank will also release the minutes from its latest meeting.

    In cryptocurrencies, bitcoin traded around $56,500, after reaching a five-month high of $57,855.79 at the beginning of the week.

    Source: _investing.com
    Last edited by Resolve; 10-13-2021 at 11:17 AM.

Bookmarks

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •  
Disclaimer
2005-2021 © FXOpen All rights reserved. Various trademarks held by their respective owners.

Risk Warning: Trading on the Forex market involves substantial risks, including complete possible loss of funds and other losses and is not suitable for all members. Clients should make an independent judgment as to whether trading is appropriate for them in the light of their financial condition, investment experience, risk tolerance and other factors.

FXOpen Markets Limited, a company duly registered in Nevis under the company No. C 42235. FXOpen is a member of The Financial Commission.

FXOpen AU Pty Ltd., a company authorised and regulated by the Australian Securities & Investments Commission (ASIC). AFSL 412871ABN 61 143 678 719.

FXOpen Ltd. a company registered in England and Wales under company number 07273392 and is authorised and regulated by the Financial Conduct Authority (previously, the Financial Services Authority) under FCA firm reference number 579202.

FXOpen EU is a trading name of FXOpen EU Ltd. FXOpen EU Ltd is authorized and regulated by the Cyprus Securities and Exchange Commission (CySEC) under license number 194/13.

FXOpen does not provide services for United States residents.

Join us