forex forum binary options trade - Forex - Dollar Regains Footing
  • Welcome to forex forum binary options trade. Please login or sign up.

Dollar Regains Footing

Started by PocketOption, Nov 10, 2022, 05:52 am

Previous topic - Next topic

0 Members and 1 Guest are viewing this topic.


Dollar Regains Footing


Dollar Regains Footing

The dollar held near its two-month low against the euro on Wednesday as traders awaited the outcome of US elections and inflation data this week, which will drive expectations for the interest rate outlook. In Asia trade, the dollar fell to 145.17 yen, its lowest level versus the Japanese currency this month, and 0.9814 Swiss francs, its lowest level in nearly five weeks.

The US dollar has been under pressure in recent weeks due to predictions of the Federal Reserve easing back on interest rate hikes and China relaxing COVID rules and stimulating GDP.

The focus was on the United States midterm election results, which revealed an ambiguous picture, with Republicans still projected to win a majority in the House of Representatives while the Senate remained a toss-up. Investors are waiting to see if Thursday’s CPI numbers will prompt the Federal Reserve to continue raising interest rates well into next year to curb inflation or if they can pause.

AUD and NZD Fell

Following last week’s Fed meeting, markets braced for an even higher peak in US rates, while some are beginning to worry whether rate expectations have little further to go, restricting the dollar’s gains. However, the dollar recovered against several currencies on Wednesday, gaining against the Australian dollar, which fell 0.53%, and sterling, which sank 0.7% to $1.1463, with traders attributing the pound’s decline to technical issues.

After three days of advances, sterling fell against the dollar on Wednesday, ahead of key US inflation data on Thursday and the UK government’s next budget statement anticipated next week.

The pound was down 0.71% against the dollar, trading at $1.14650 after rallying 3.5% in the previous three trading sessions. Two individuals cited the pound’s weakness against the euro as a driver of the UK currency’s overall loss, with one indicating a large flow order by a particularly active name in euro/sterling on Wednesday.

The post Dollar Regains Footing appeared first on FinanceBrokerage.

Source: Dollar Regains Footing