The US Dollar was broadly lower in Thursday trade as speculation rises that the Federal Reserve Bank might be concerned over the pace of the Dollar’s surge in the wake of the surprise Trump victory. In the past week, the greenback had surged to a 13-year peak and bond yields have steadily moved higher, as well. Janet Yellen, the head of the Federal Reserve, may not be as enthusiastic about the Dollar’s rise, especially now when all signs seemingly are pointing to an interest rate hike next month. Ms. Yellen will testify before a joint Congressional committee later today.
As reported at 10:09 am (GMT) in London, the EUR/USD was trading at $1.0717, up 0.16%; the pair’s range in today’s session was from a low of $1.0680 to a peak of $1.0735. The GBP/USD pair was trading at $1.2472, up 0.24%, not far from the session peak of $1.2504 and far off the daily low of $1.2406.
Yen Dips on Bank of Japan Actions
In Japan, the Yen was under pressure after the Bank of Japan made good on its promise to lower yields on Japanese sovereign debt. As a result, the USD/JPY pair edged up to a session peak of 109.30 Yen before dropping back slightly to 109.136 Yen.