Connect with us

Hi, what are you looking for?

Forex

Dollar Down, Powell Comments Press Pause on Recent Rally By Investing.com

Dollar Edges Higher; Key Employment Data Looms Large


© Reuters.

By Gina Lee

Investing.com – The dollar was down on Thursday morning in Asia, remaining around a two-week low. The U.S. currency was weighed down by the latest insistence from that interest rate hikes are not forthcoming.

The that tracks the greenback against a basket of other currencies edged down 0.17% to 92.157 by 1:04 AM ET (5:04 AM GMT), after recording its third consecutive fall during the previous session.

The pair inched down 0.10% to 109.78.

The pair inched up 0.03% to 0.7378, with an extended lockdown in Sydney set to put a dent on both the Australian economic recovery and the risker Australian dollar. The pair was up 0.32% to 0.6969, with New Zealand’s falling to -3.8 in July.

The pair was down 0.26% to 6.4738 The yuan clawed back most of its losses from Tuesday, but traded slightly on the back foot ahead of the onshore markets’ open on Thursday.

Efforts to calm the market turbulence over a crackdown on sectors such as education raised investors’ confidence, with China Securities Regulatory Commission (CSRC) Vice Chairman Fang Xingha reportedly calling executives at major investment banks on Wednesday.

The pair was up 0.21% to 1.3927.

Powell’s comments came as the Fed handed down its latest policy decision on Wednesday, where he said that interest rate hikes are “a ways away” and that the job market still had “some ground to cover” before the central bank begins to taper its assets.

Although the dollar rose following the Fed’s decision, it retreated to a two-week low of $1.1849 against the euro after Powell’s comments. The retreat indicated that the greenback could be taking a breather from its month-long rise, with the euro now above its 20-day moving average.

“The reaction was to the Powell presser, which was seen as dovish… and improving risk sentiment should be associated with a weaker dollar ” National Australia Bank (OTC:) head of FX strategy Ray Attrill told Reuters.

He also noted the rebound in U.S.-listed China tech names and recent gains in re-opening exposed firms.

The pound has been a big mover during the past week, thanks to initial positive signs from England’s lift of most COVID-19 curbs earlier in the month. Rolling averages of daily U.K. COVID-19 cases are headed towards a downward trend, even as the number of COVID-19 cases in the U.K. continues to rise. However, experts and Prime Minister Boris Johnson warned that it is currently too early to draw any conclusions.

“At the moment, the U.K.’s COVID-19 position is pretty good and I do think that’s had an impact,” said NAB’s Attrill.

Investors now await German labor and inflation data to be released later in the day, including the and for July as well as the . The U.S will also release its later in the day.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Click to comment

Leave a Reply

Your email address will not be published.

You May Also Like

Technology

Cybercriminals Adopt the Blockchain to Broadcast confidential Messages A group of analysts from SophosLabs represents that programmers working the crypto-jacking malware, Glupteba, have been...

Technology

PUBG unban in India soon as PUBG Corp. Will The Government Of India Unban PUBG? PUBG Mobile was Ban in India, PUBG organization has...

Technology

A standard method to execute Bitcoin could be powerless against double-spending, the new examination has found. Blockchain sleuths at ZenGo, a wallet startup, have...

BlockChain News

HDD mining, also known as “storage mining”, is a process of obtaining cryptocurrency based on hard disk memory. Compared with traditional POW mining, hard...