The Federal Reserve may begin to cut rates this year and expectations for inflation data grow.
He dollar goes back this Tuesday waiting for whatUS inflation data and the euro zone this week that could affect the monetary policy expectations of the main central banks.
The greenback is poised to post its first monthly decline in 2024. “A backdrop in which the Federal Reserve may begin cutting rates this year, even in December, is consistent with further dollar weakness,” he said Athanasios Vamvakidis, global head of currency strategy at BofA.
Vamvakidis cited weak US economic data and recent stronger-than-expected Eurozone numbers, as the main reasons for the slowdown of the dollar.
He also highlighted that the Federal Reserve had opposed speculation about possible rate increases that prevent the dollar from continuing to appreciate.
dollar (4).JPG
Reuters
How the rest of the currencies operate
Against a basket of currencies, the dollar fell 0.20%, 104.44, which represents a monthly decrease of 1.84%.
The euro rose 0.25% to $1.0885, despite some bearish comments from European Central Bank (ECB) policymakers on Monday and data showing German business morale stagnated in May .
The yen languished near 157 to the dollar and was last at 156.80 to the dollar.
The British Pound and the New Zealand Dollar They rose to highs of more than two months.
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.
