Reportedly, the ECB is analyzing the possibility of the change of the current inflation target of "below but close to 2%". It weakened the EUR
Aussie and Kiwi add as US dollar keeps diving
On Wednesday, the Australian and New Zealand dollars rallied versus its American rival because market sentiment on the US currency was affected by a fresh ascend by the common currency and also the fact that the end of the American government shutdown didn’t manage to give sufficient momentum to the evergreen buck.
The common currency has been strongly underpinned in the beginning of 2018, spurred by soaring optimism that the ECB is going to signal a quicker exit than anticipated from its stimulus program.
The US currency briefly rebounded after on Monday Congress finally passed a measure to fund the authorities three weeks and Donald Trump had the corresponding bill signed, thus concluding the three-day government shutdown.
Gauging the greenback’s value versus a basket of six key currencies, the US dollar index slumped 0.10% hitting a new three-year minimum of 89.79.
The currency pair AUD/USD gained 0.15% hitting 0.8013, which is not far from last week's four-month maximum of 0.8041.
As for NZD/USD, this pair rallied 0.10% trading at 0.7363 - the highest value since September.
In July, Britain's inflation rate rallied for the first time in 2018, thus leaving many UK households feeling quite squeezed by prices, soaring at nearly the same tempo as their wages…
On Friday, the evergreen buck rallied versus its counterparts after data disclosed that the American economy generated more jobs than anticipated In October, thus backing the Fed’s case to proceed with gradual rate lifts…
On Tuesday, gold rallied because uncertainty over the latest developments in Britain’s departure from the EU backed safe haven demand and traders looked ahead for American inflation data to underpin the Fed’s pledge to remain on hold…