Currency – The dollar is lower, in view of the Fed

© Reuters. The dollar is lower, in view of the Fed – The dollar was lower against a basket of currencies on Wednesday as investors await the conclusion of the federal Reserve meeting later in the day, when he was expected to announce its first rate hike of the year.

The dollar index, which measures the strength of the dollar against a basket of six major currencies, was down 0.28% 89,75 at 04:25 AM (08:25 GMT).

With the first rate increase in 2018 almost all market players will be looking for signs that the Fed could tighten its monetary policy at a faster pace this year in order to avoid an overheating of the economy.

Investors remained cautious about the threat of a trade war.

The us president, Donald Trump had to disclose up to $ 60 billion in new tariffs on chinese imports on Friday. The administration Trump has already imposed duties on imports of steel and aluminum of the United States at the beginning of this month.

Investors fear that major trading partners of the United States to retaliate with similar measures and threaten global growth prospects.

The euro rose against the dollar, with the EUR / USD up 0.33% to 1,2281.

The british pound was also higher, with GBP / USD rising 0.23% to 1,4029, in advance of the latest report on employment in the United Kingdom later in the day.

The dollar declined against the yen, with USD / JPY sliding 0.21% to 106.31.

The australian dollar remained under pressure after falling to the lowest since three months due to concerns that China could be hit by the u.s. sanctions. China is a major destination for australian exports.

The AUD / USD was at 0.7694 after falling to 0.7677 during the night.

The new zealand dollars and canadian trade-related, have also reached their lowest level since several months, with a value of the NZD / USD to 0,7171 and the USD / CAD recently at 1,3041.

Like this post? Please share to your friends:
Leave a Reply