The demand for safe haven currencies, along with warnings from Japanese authorities, is helping the yen hit two-week highs against the dollar.
The dollar heads for its first weekly loss in a month, although it distances itself from the two-week lowsin anticipation of crucial data on employment in the United States, while tensions in the Middle East keep investors on edge.
The demand for safe haven currencies, along with warnings from Japanese authorities, is helping the yen hit two-week highs against the dollar.
Investors are cautious about the situation in the Middle East, especially after US President Joe Biden threatened on Thursday to condition its support for the Israeli offensive in Gaza on the adoption of concrete measures to protect humanitarian workers and civilians.
The dollar registers a turbulent week, falling from five-month highs to two-week lowsfollowing an unexpected slowdown in services growth in the United States, which boosted expectations of a possible reduction in interest rates by the Federal Reserve.
Dollar vs. other currencies
The dollar subsequently recovered following comments on Thursday from Minneapolis Fed President Neel Kashkari, who, although it does not have a vote on the monetary policy committee this year, mentioned that rate cuts may not be necessary if inflation remains stagnant.
The market is watching for the release of the US monthly employment report later in the day. Economists consulted by Reuters anticipate that around 200,000 jobs were added in March.
Regarding quotes, the dollar index, that compares the greenback to a basket of six prominent currenciesregisters a slight increase of 0.1%, standing at 104.27 units.
The yen appreciated to a two-week high of 150.81 against the dollar, before retreating to trade at 151.345; while the euro remains stable at 1.0834 dollars; and the pound sterling fell 0.1%, settling at $1.263.
Source: Ambito
I am a 24-year-old writer and journalist who has been working in the news industry for the past two years. I write primarily about market news, so if you’re looking for insights into what’s going on in the stock market or economic indicators, you’ve come to the right place. I also dabble in writing articles on lifestyle trends and pop culture news.
