alexa certify
0

Dollar hits a one-year peak ahead of a payrolls report

The dollar hovered near a one-year peak against its rivals ahead of a key payrolls report at the end of the week. Meanwhile, the largest cryptocurrency in the world, bitcoin, hit $50,000 for the first time in four weeks.

The risk-sensitive Australian dollar witnessed slumps, with the Reserve Bank of Australia reiterating that it does not anticipate raising interest rates until 2024.

The dollar index, which tracks the currency against rivals, increased 0.13% to settle at 93.932. It dropped from Thursday’s peak of 94.504, highest since September 2020.

The index had increased as much as 2.8% since September 3 as traders rushed to price in tapering of economic stimulus in 2021 and possible rate rises for 2022.

The greenback has also benefited from safe-haven demand amid concerns of the risk of global stagflation and the U.S. debt ceiling standoff.

ING analysts announced that the greenback started the week on the back foot Monday. It was affected by the OPEC+ decision to stick to gradual supply hikes. Notably, OPEC+ decision boosted oil prices and oil-sensitive currencies. ING analysts also added that markets will likely keep buying the dips in the dollar. They say that this is what happened overnight as the dollar recovered across the board.

 

The market is now waiting for Friday’s non-farm payrolls data

Analysts anticipate Friday’s non-farm payrolls data to show improvement in the labor market. They expect non-farm payrolls data to show 488,000 jobs to have been added in September.

Meanwhile, Asian equities index declined by 0.74% after a 1.3% slump overnight for the S&P 500.

The Australian dollar fell 0.1% to settle at $0.7281, retreating further from Monday’s four-day peak of $0.73045. Its New Zealand counterpart dipped 0.34% to $0.6939, also backing away from a four-day high at $0.6981. The Reserve Bank of New Zealand (RBNZ) is due to decide policy on Wednesday, with markets priced for a quarter-point rise to interest rates.

The U.S. dollar increased by 0.25% against the safe-haven Japanese yen to settle at 111.19 yen. Meanwhile, the euro against the greenback lost 0.21% to $1.15965.

The British pound gained 0.15% to $1.3629 and hit a three-week peak versus the euro at 85.11 pence.

As we have already mentioned, the most popular cryptocurrency, Bitcoin, reached $50,000 for the first time since September 7. Meanwhile, the second-largest cryptocurrency, Ether, traded at $3,454.46.

  • Support
  • Platform
  • Spread
  • Trading Instrument
Comments Rating 0 (0 reviews)

Get the latest economy news, trading news, and Forex news on Finance Brokerage. Check out our comprehensive trading education and list of best Forex brokers list here. If you are interested in following the latest news on the topic, please follow Finance Brokerage on Google News.



You might also like

Leave a Reply

User Review
  • Support
    Sending
  • Platform
    Sending
  • Spread
    Sending
  • Trading Instrument
    Sending

Financebrokerage