He dollar was headed for its fourth weekly rise on Friday, with a cumulative 0.2% rise since Monday, as traders reduced bets on how quickly the Bank of Japan could raise interest rates and how soon the economy will lower them United States Federal Reserve (Fed).
He dollar index rose slightly to 104.19, having gained 0.1% on Thursday, after data pointed to the resilience of the US labor market, further crushing expectations of a soon rate cut by the Fed.
For the week, the indicator rose 0.2%, off to a good start after last Friday’s excellent monthly payroll data and the aggressive tone of the Federal Reserve chairman, Jerome Powellin an interview on the program “60 Minutes” broadcast on Sunday.
Traders have all but ruled out a cut at the next monetary policy meeting. Fed in March, down from a 65.9% chance a month ago, according to CME Group’s FedWatch tool.
He and in barely varied at 149.42 units per dollar after trading at 149.575, its lowest level since November 27. This week, the Japanese currency has depreciated 0.68%, after having lost value in five of the last six weeks.
The governor of the Bank of Japan, Kazuo Uedasaid on Friday that there was a good chance that favorable monetary conditions would persist even after the central bank ends the negative interest rate policy, which the market expects to happen in March.
By contrast, several Federal Reserve officials have signaled this week that the central bank has no urgent need to cut interest rates, giving the dollar an additional boost.
He euro barely varied at 1.0773 dollars, while the pound sterling It remained around $1.2619. Both currencies have proven relatively resilient, and those responsible for the European Central Bank (ECB) and of Bank of England have bucked market bets on an early rate cut.
The main cryptocurrency, the bitcoinrose 3% to $46,688, on track to record a weekly rise of 9.3%, its best result in two months.
Source: Ambito
