Online Forex broker
On Thursday, the US currency kept close to the peak of three and a half months versus the pack of other leading currencies. It’s because the revenue on 10-year American government bonds stood above 3%.
Showing the purchasing power of the US currency versus the group of six major currencies, the US dollar index accounted for 91.02, which is close to the high of 91.04, the highest outcome since January 12, displayed on Wednesday.
The evergreen buck keeps growing due to the surge in revenue of American government bonds as well as the prospects for accelerating the Fed's interest rate lift in 2018.
A higher interest rate normally acts as support for the US currency, as it makes dollar assets more tempting for profit-seeking traders. This week, the revenue of 10-year American government bonds surpassed 3% for the first time since 2014. That’s an indication of investor confidence in the good future of the American economy.
The evergreen buck dived against the Japanese yen. The currency pair USD/JPY sank 0.11% being worth 109.31 after it managed to renew a maximum of two and a half months of 109.46 during night trades.
The common currency remained stable against the evergreen buck. The currency pair EUR/USD was trading at 1.2167, a bit retreating from a 2-month minimum of 1.2158, recorded on Wednesday.
Market participants are waiting for the verdict of the ECB on monetary policy, which is expected to be adopted at a gathering on Thursday. Investors are eager to know whether the ECB officials became more confident in the estimates on the surge of inflation or not.
According to analysts' forecasts, the ECB is going to keep the interest rate intact and it’s going to keep the plan on continuing the financial incentive program until the end of 2018.
During the daily press briefing of Andres Manuel Lopez Obrador, it was announced that Mexico will receive 1.4 million doses of the vaccine by the end of January. Is that optimistic enough for the peso?
The US unemployment claims are announced on Thursday at 15:30 MT time.
The Canadian monthly GDP is announced on Wednesday at 15:30 MT time.
The European Central Bank will publish the monetary policy statement with the interest rate decision on January 21, at 14:45 MT time.
Joe Biden is going to unveil a Covid-19 relief package of about $2 trillion. After this announcement, the 10-year Treasury yield rose, adding support for the USD.
The US dollar’s weakness offered a boost to emerging-market currencies and oil.
FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.
Your request is accepted.
A manager will call you shortly.
Next callback request for this phone number
will be available in 00:30:00
If you have an urgent issue please contact us via
Live chat
Internal error. Please try again later
Don’t waste your time – keep track of how NFP affects the US dollar and profit!
Beginner Forex book will guide you through the world of trading.
We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.
|
