Today, Friday, the dollar is heading towards recording its largest weekly decline this year after Federal Reserve Chairman Jerome Powell expressed greater confidence about lowering interest rates in the coming months, while the yen rose amid increasing speculation about raising interest rates in Japan.
Traders are awaiting US jobs data scheduled to be published later today, which could confirm or dispel market expectations of a rate cut by next June.
Powell said the Fed is “not far away” from building the confidence it needs to lower interest rates.
For its part, the European Central Bank – yesterday, Thursday – kept the key interest rate at 4% and paved the way for a cut next June. However,
The euro rose, because investors see that the United States has more room to cut rates.
- The euro rose to its highest level in nearly two months at $1.0956 during Asian trading, which brought it back to the middle of the range that…
He has been moving in it for a year. It increased by about 1% against the dollar during the week. - The yen has risen 1.5% since the beginning of the week, its best percentage performance since last December, after policymakers hinted at…
Positive indicators for wages and prices, paving the way for the first increase in interest rates in Japan in 17 years. - The yen surpassed its 50-day moving average and reached its highest level in a month at 147.54 in early Asian trading today.
Friday. - The weakness of the dollar led to the Australian and New Zealand dollars rising 1.5% and 1.1% during the week, respectively.
- The British pound rose 1.2% this week to its highest level in 2024 at $1.2820.
- The Australian dollar reached its highest level since mid-January at $0.6631.
- The New Zealand dollar reached a one-week high of $0.6183.
