Japan’s currency fell from a two-and-a-half-month high after financial markets stabilized.
The global dollar was stable but strengthened against the yen, which fell from a two-and-a-half-month high, after financial markets stabilized, while investors await the meeting of the Bank of Japan next week, when there could be a rate hike. In Uruguay, Meanwhile, the currency achieved its third consecutive rise.
He dollar index —which compares the performance of the greenback in relation to a basket of six currencies of international relevance— closed stable at 104.36 units, despite the fact that the former president of the Fed of New York, Bill Dudleystated that the Federal Reserve should cut rates next week in a column published in Bloomberg on Wednesday, citing recent data from employment.
The dollar pared losses against the yen and euro after data showed the majority of economy of the world expanded faster than expected and the inflation slowed in the second quarter. In the week, the and in has risen 2.4%, its best weekly gain since late April. dollar fell slightly to 153.84 yen. Meanwhile, the euro rose slightly to $1.0846
“The Japanese yen is stagnating due to lower demand for safe-haven assets, and the speculative fervour behind its recent uptrend appears to be losing steam,” he said. Karl Schamotta, chief market strategist at Corpay in Toronto.
“We believe that markets have overreached a bit, given that underlying economic fundamentals do not yet support a rapid tightening cycle by the Bank of Japan, and that rate spreads will remain wide even if the Fed begins to taper in the coming months,” he added.
In Uruguay, the exchange rate is consolidated at around 40 pesos
In Uruguay, Meanwhile, the dollar rose 0.09% compared to Wednesday and closed at 40.280 pesos, according to the exchange rate. Central Bank (BCU), signing its second consecutive third and establishing itself above 40 pesos.
The US currency thus maintains its positive streak so far this month, a period in which it has accumulated an improvement of 0.73%. If we analyze the annual accumulation, the appreciation of the dollar reaches 3.22% compared to the end of 2023.
Source: Ambito
