Welcome to Tuesday!
Greenback rallies on Fed statement
On Thursday, the major US currency managed to leap versus its key rivals after the key US bank told that it’s on track for extra rate lifts in 2018, while the British pound dived ahead of the BoE’s policy announcement a bit later in the day.
Assessing the US currency’s purchasing potential versus its main counterparts, the USD index tacked on by 0.21% hitting 94.66.
Demand for the evergreen buck was still backed after the major US bank kept interest rates on hold as generally anticipated at the conclusion of its policy gathering on Wednesday. The Fed stressed that the American economy has been adding confidently and the job market has kept strengthening.
The evergreen buck was also backed by safe haven demand in the face of renewed worries over global trade tensions.
On Wednesday, the current US presidential administration told that it’s geared up towards ramping up duties on $200 billion worth of China’s imports to 25% having earlier setting them at 10%, thus driving a trade conflict between the world’s leading economies.
The common currency declined versus the US dollar. The currency pair EUR/USD headed south 0.21% demonstrating an outcome of 1.1634.
The evergreen buck dived a bit against Japan’s currency. The currency pair USD/JPY slumped by 0.09% trading at 111.62. However, it held on to most of its Tuesday’s revenue after the Bank of Japan promised to keep interest rates low enough. Moreover, the bank made minor tweaks to its asset purchase program for the purpose of making it more flexible.
The pound edged down. The currency pair GBP/USD declined by 0.28% reaching 1.3090 ahead of the conclusion of the BoE’s gathering later on Thursday, at which it was generally anticipated to deliver its second rate lift for a decade, notwithstanding a weakening outlook for the British economy as well as escalating uncertainty over Brexit.
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…