Notice: Trying to get property 'display_name' of non-object in /home/theproficientinv/public_html/wp-content/plugins/wordpress-seo/src/presenters/meta-author-presenter.php on line 40
Stock

Forex – Dollar in Demand; Sterling Unpopular

imageForex19 hours ago (Mar 17, 2020 04:19AM ET)

(C) Reuters.

By Peter Nurse

Investing.com – The U.S. dollar has been in demand Tuesday, rebounding from Monday’s losses, as other central banks look to follow the aggressive easing stance recently taken by the U.S. Federal Reserve.

At 04:30 AM ET (0830 GMT), EUR/USD traded at 1.1129, down 0.4%. The U.S. Dollar Index, which tracks the greenback against a basket of six other currencies, stood at 98.493, up 0.4%. USD/JPY fell 0.9% to 106.82.

Earlier Tuesday the Bank of Japan pumped more than $30 billion into markets with an 84-day dollar funding operation, while the Reserve Bank of Australia announced plans to meet on Thursday two weeks ahead of schedule, suggesting another interest rate cut is on the way.

The global spread of coronavirus has roiled markets in recent weeks, spurring a flight to haven assets, and the U.S. dollar in particular. The move by the Federal Reserve Sunday to slash interest rates to near zero prompted selling in the greenback, but tone that changed Tuesday.

One of the poor performing currencies over the last few weeks has been sterling. The Bank of England is scheduled to hold its next rate-setting meeting on March 26, but a move being made before then cannot be ruled out owing to the intensity of the coronavirus crisis.

The pound has tended to show weakness against the greenback and euro in the current environment of investor fear. A large drawdown in U.K. investments by international investors may well be responsible for this, especially as the U.K. has taken a different stance on combating the coronavirus outbreak than most of its peers.

At 04:10 AM ET, GBP/EUR was quoted at 1.0980, at the start of last week the pair was at 1.1523. GBP/USD is now quoted at $1.2208, and was at $1.32 last week.

Forex – Dollar in Demand; Sterling Unpopular

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Most Popular

Your daily news source covering investing ideas, market stocks, business, retirement tips from Wall St. to Silicon Valley.

Disclaimer:

TheProficientInvestor.com, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice.
The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2021 TheProficientInvestor. All Rights Reserved.

To Top