This is the most important news in the Forex market today.
Evergreen buck jumps
On Monday, the evergreen buck managed to leap versus other key currencies in the face of a divergence of monetary policies of the United States and the European Union. The Japanese yen was still underpinned because of the everlasting tension in international relations that backs demand for safe-haven assets.
The US dollar index, normally utilized for gauging the purchasing power of the US currency against six main rivals, went up by 0.26% hitting 94.69, getting closer to the 95.13 maximum for 11 months that was reached on Friday.
For the last week, the US dollar index ascended by 1.33% that turned out to be the greatest surge for seven weeks. On Wednesday, the key US bank pointed to a quicker rate of tightening monetary policy. Additionally, on Thursday the EU’s major financial institution proposed a softer version of monetary policy.
The common currency dived versus the greenback. The currency pair EUR/USD slumped 0.37% being worth 1.1567 following a 1.34% dive over the previous week because the ECB uncovered its intention to keep the interest rate intact until the middle of 2019.
The evergreen buck went down a bit versus Japan’s currency. The currency pair USD/JPY slumped to 110.57 following a three-week maximum of 110.90 reached on Friday.
Worries as for the tension in international trade resumed as soon as Donald Trump told about the introduction of tariffs worth $50 billion to Chinese goods. It makes China roll out similar measures, thus spurring the danger of global economic surge.
The Japanese yen managed to gain extra support after an earthquake took place near Osaka.
Demand for Japan’s currency always goes up in times of political uncertainly.
Meanwhile, the Canadian dollar stayed close to the year’s minimum recorded on Friday. The currency pair USD/CAD showed an outcome of 1.3186.
During today's press conference, the ECB president said that the data was "somewhat" better than the expectations in the first quarter. T
Australia will release the level of employment change and unemployment rate on June 13, at 4:30 MT time.
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 Monday, gold declined because the evergreen buck managed to gain early traction, thus putting pressure on the most popular precious commodity, which has been sticking with the year’s minimums…