Minutes from the Fed’s Nov. 2-3 meeting boosted the dollar on Wednesday as they indicated that the entity is more concerned about the acceleration of inflation. Several authorities said they were open to accelerate downsizing of your bond buying program if inflation is kept high, as well as move faster to raise interest rates.
A report released the day before showed that US jobless claims were at a 51-year low, while consumer spending rose more than expected in October and inflation continued to accelerate.
However, on Thursday, the upward trend of the dollar – which has gained about 2.7% this month – slowed slightly and the dollar index fell 0.1%, to 96.707 units, compared to a 16-month high of 96,938 that hit Wednesday night. Against the yen, the greenback was trading just below a five-year peak.
Neil Jones from Mizuho said he hopes the downward movement of the dollar is a “temporary downturn”. “After Thanksgiving next week and in December, I expect a stronger dollar, albeit at a fairly moderate pace,” he noted, adding that the seasonal demand for dollars at the end of the year will also contribute to its strength.
The euro recovered slightly, gaining 0.2% at $ 1.1224. However, it has still lost about 2.9% so far this month, weighed down by expectations that the European Central Bank will be more moderate than the Fed, as well as a new wave of restrictions due to COVID-19 in Europe. .
In cryptocurrencies, Bitcoin was up about 2.6% to 58,646.11, recovering from a month-long low of $ 55,128.60 hit on Tuesday.
Source From: Ambito
David William is a talented author who has made a name for himself in the world of writing. He is a professional author who writes on a wide range of topics, from general interest to opinion news. David is currently working as a writer at 24 hours worlds where he brings his unique perspective and in-depth research to his articles, making them both informative and engaging.
