FXTM information and reviews
FXTM
93%
IronFX information and reviews
IronFX
92%
Libertex information and reviews
Libertex
91%
ETX Capital information and reviews
ETX Capital
90%
FxPro information and reviews
FxPro
88%
OctaFX information and reviews
OctaFX
86%
EUR/USD
1.1876
GBP/USD
1.3894
USD/JPY
109.2158
USD/CHF
0.905
USD/CAD
1.2509
EUR/JPY
129.7035

USD Rallies as Fed Minutes Remain in Focus


7 April 2016

The greenback traded higher against a basket of currencies as the market remained watchful on the outcome of the Federal Reserve’s march Policy meeting happening today and as  economic growth ached the euro zone.

During the session earlier, the U.S. dollar remained supported at 110.41 against its Japanese rival, ascending from its 17-month low of 109.94. The U.S. dollar index went up 0.15 percent at 94.76, recovering from the 5-month-low of 94.30 the previous sessions.

However, AUD/USD jumped to 0.24 percent at 0.7562 as oil prices rallied before the end of the session on Tuesday night. The NZD/USD dropped by 0.28 percent to trade at 0.6788 while the USD/CAD turned higher by 0.26 percent to 1.3171

Earlier today, the U.S. currency found support after an upbeat report from the Institute of Supply Management. ISM indicated a 54.5 non-manufacturing purchasing manager’s index for the month of March, which was relatively higher from 53.4 in February.

The greenback edged higher as the investors awaited the minutes of the Fed’s meeting, where clearer indication of an interest rate hike was highly anticipated. Since the start of the week, the meeting has been grabbing the attention of the investors and has affected the majority of the currencies.

On Tuesday,  Governor Haruhiko Kuroda of the Bank of Japan said that he would impose necessary growth stimulus as rumors spread regarding the intervention of the Japanese officials to weaken the currency before it soared even higher.

Prior to this, Pime Minister Shinzo Abe told the press that whatever the circumstances they (countries) must definitely avoid competitive devaluation.“I think we should refrain from arbitrary intervention in currency markets” the prime minister of Japan stated

Elsewhere, the EUR/USD lost 0.31 percent to change hands at 1.1350 after a tight range between 1.1357 and 1.1405.

International Monetary Fund Managing Director Christine Lagarde confirmed low inflation, weak growth opportunities, lack of new jobs and high debt burdens on her speech at the Goethe Institute in Frankhurt.

She also reported that the growth minimum is weak, (the) risks are probably on the rise and confidence is sorely lacking after she challenged political leaders to enact stronger fiscal measures.

Meanwhile, the Federal Reserve Bank of Atlanta forecasted a lower US. GDP Growth of 0.4 percent after the weaker vehicle sales reported last Monday and the slump in real equipment investment growth as well as the real consumer spending growth.

#source

Related

Newegg is overegging it again as shares fall 26% in a week after huge volatility

It is a widely held perception that stock traders need to 'shell' out often, must be calm enough not to be "egged" on by temptations, and should 'lay' off making rash decisions as they...

3 Aug 2021

The ultimate week ahead traders' playbook

It promises to be a big week for event risk and one where I'm personally hoping for the VIX index to reclaim the 20% threshold, with bond and FX volatility pushing...

2 Aug 2021

The US goes for the worst-case scenario for the dollar

Asian markets are losing again on Friday and are on track for their worst monthly decline since last March. However, we do note a marked improvement...

30 Jul 2021

Equities gained on the back of a dovish FED

Narrow ranges prevailed across asset classes yesterday and there wasn't too much of a reaction to yesterday's Fed announcement. The Fed provided some buying...

29 Jul 2021

The Fed has cemented the dollar's fall

The Fed did not give any clear signals about the start of the stimulus rollback at the end of its regular meeting, indicating only the existence of discussion about it...

29 Jul 2021

UK economy upgraded by the IMF as rapid growth predicted

It's a remarkable feat of recession-defying odyssey that the financial markets seem to display right now. Britain, which is in the midst of what is being touted as the worst...

28 Jul 2021


Editors' Picks

© 2006-2021 Forex-Ratings.com

The usage of this website constitutes acceptance of the following legal information.
Any contracts of financial instruments offered to conclude bear high risks and may result in the full loss of the deposited funds. Prior to making transactions one should get acquainted with the risks to which they relate. All the information featured on the website (reviews, brokers' news, comments, analysis, quotes, forecasts or other information materials provided by Forex Ratings, as well as information provided by the partners), including graphical information about the forex companies, brokers and dealing desks, is intended solely for informational purposes, is not a means of advertising them, and doesn't imply direct instructions for investing. Forex Ratings shall not be liable for any loss, including unlimited loss of funds, which may arise directly or indirectly from the usage of this information. The editorial staff of the website does not bear any responsibility whatsoever for the content of the comments or reviews made by the site users about the forex companies. The entire responsibility for the contents rests with the commentators. Reprint of the materials is available only with the permission of the editorial staff.
We use cookies to improve your experience and to make your stay with us more comfortable. By using Forex-Ratings.com website you agree to the cookies policy.