© Reuters. A US $1 banknote in an illustration from Reuters archives.
SINGAPORE 8 (Reuters) – Friday is heading towards recording the largest weekly decline this year after the head of the Federal Reserve (the US central bank) expressed greater confidence about cutting interest rates in the coming months, while the yen rose amid increasing speculation of a price hike in the coming months. Japan.
Traders are awaiting US jobs data scheduled to be published later on Wednesday, which could confirm or dispel market expectations of a rate cut by June.
Powell said the bank is “not far away” from building the confidence it needs to cut interest rates.
On Thursday, the European Central Bank kept its key interest rate at four percent and paved the way for a cut in June. However, it rose because investors see the US as having 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 in which it has been moving for a year. It rose by about 1 percent against the dollar during the week.
The yen has risen 1.5 percent since the beginning of the week, its best percentage performance since 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 a one-month high of 147.54 in early Asian trading on Friday.
The weakness of the dollar led to the Australian and New Zealand dollars rising 1.5 percent and 1.1 percent during the week, respectively. The pound rose 1.2 percent this week to a 2024 high of $1.2820.
The Australian dollar reached its highest level since mid-January at $0.6631, and the New Zealand dollar reached its highest level in a week at $0.6183.
(Prepared by Marwa Ghareeb for the Arabic Bulletin)
2024-03-08 06:44:00
#dollar #declines #Central #Bank #Chairmans #comments #interest #rates #Reuters
