Height for the dollar after the lull before the Fed storm A noticeable rise in the price of the dollar today
Urgent - Saud for the dollar after the lull before the Fed storm Investing.com - The US dollar was lower in early European trade on Wednesday,
as traders cautioned ahead of the conclusion of an important Federal Reserve meeting,
but we may see a historic launch for the dollar tonight after the interest rate decision.
Urgent: European insistence on falling into recession.. New data deepen the crisis
The dollar index, which measures the greenback against a basket of six other currencies, fell 0.18
The Federal Reserve is widely expected to raise interest rates by 75 basis points later on Wednesday,
the fourth such increase in a row. But the market is divided over the scale of the December rally,
especially after recent suggestions from Federal Reserve officials about a possible slowdown in the tightening pace.
However, the central bank can easily stick to the path of tight interest rate tightening as a result of
the labor market that remains tight and there is no sign of core inflation abating.
Urgent: Tremendous growth .. exceeding 2009 levels
Our base case is for the Fed to raise a reduced pace of 50 basis points at the December meeting,
said analysts at ABN Amro, and “after that, we expect a pause in tightening.
However, we doubt that the Fed will be in a rush to indicate this at the next meeting.
And if the Fed chooses to indicate a lower rate hike in December, that will likely be accompanied by
language suggesting that rates may have to The height is higher than previously thought.
The dollar still has enough strength to regain or surpass its recent gains and resume its steady rally towards historic levels,
according to a Reuters Strategic Currency Poll,
indicating that its decline is temporary.
GBPUSD rose 0.1% to 1.1499,ahead of the Bank of England monetary policy meeting on Thursday,
as markets anticipate a 75 basis point increase in interest rates and consumer inflation hit double digits in September.
Also, EURUSD rose 0.1% to 0.9879, near a one-week low in the previous session at 0.9853,
ahead of the final Eurozone PMI data later in the week, which should make clear that the region Heading towards recession.
While USDJPY fell 0.7% to 147.26, with traders watching for intervention after Japanese
authorities confirmed that the country spent $42.8 billion on currency intervention this month to prop up the yen.
The USD/AUD rose 0.3% to 0.6414, while the Chinese Yuan against the USD fell to 7.2756,
with the renminbi supported by unconfirmed reports that Chinese authorities are considering easing the country's tough
Covid policy that affected the country. on economic activity this year.
Bank of Japan Governor Haruhiko Kuroda also helped the yen by saying
that a tightening of the bank's hyper-cautious policy may be possible if inflation eases in the country.