U.S. Dollar Rises Against Major Asian Currencies

On Friday, the U.S. dollar rallied against other major Asian currencies. The inflation data of Japan were also in focus as investors looked for cues for the monetary policy of the country.

U.S. Dollar Bills and Asian Currencies

The U.S. dollar index, which tracks the greenback against a basket of six major currencies, increased 0.10 percent at 89.73.

The dollar also increased alongside the 10-year U.S. treasury yield that went up 2.9 percent.

U.S. President Donald Trump, however, did not made new fresh demands on trade at his meeting with Japanese Prime Minister Shinzo Abe.

Meanwhile, USD/JPY added 0.28 percent to 107.65. Japan’s March national CPI figures came in at 0.9 percent, declining from the previous 1.0 percent.

The 2 percent inflation target of Bank of Japan starts to look grim as the inflation continues to droop in the economy of Japan. Despite the inadequate impact of the monetary easing policy, Governor Haruhiko Kuroda stated that the Bank has no plans to drop the policy.

In China, the People’s Bank of China has set the fix rate of yuan against the U.S. dollar at 6.2897. The USD/CNY edged 0.11 percent to trade at 2858.

GBP/EUR Exchange Rate Declines

In other news, the Pound went down against the Euro on Friday, following the cautious comments of Mark Carney, the Governor of Bank of England (BoE).

Euro Bill and a Pound

The makes the GBP/EUR exchange rate at its worst level this week. While Sterling is trading at a low of €1.1387 compared to the earlier high of €1.1598.

Meanwhile, the Pound traders were worried after Carney suggested that the UK interest rate hike in May might not happen. He also implied a slow pace of rate hikes in the future.

“Prepare for a few interest rate rises over the next few years. I don’t want to get too focused on the precise timing, it is more about the general path,” stated Carney.

“The biggest sets of economic decisions over the course of the next few years are going to be taken in the Brexit negotiations and whatever deal we end up with.”

HQBroker is here to give you a daily news roundup about the forex, commodities, technologies, automobiles, and economies. You can open an account now and make yourself updated with essential news in the market. Share your thoughts and experiences with us by commenting your HQBroker reviews.



Categories: Forex, News

Tags: , , , , , , , , , , , , ,

Leave a Reply

%d bloggers like this: