Market News

The US Dollar Index traded at 10-month trough as concerns grow over the Federal Reserve’s likeliness to hike interest rates given the current economic environment.

The dollar index hit fresh nine-month lows on Tuesday morning, trading as low as 94.773 .DXY, after two more United States senators withdrew their support of Trump’s healthcare bill, a move that almost certainly sealed the bill’s demise.

The Pound Sterling came under pressure against the US Dollar as cautious traders exert their influence ahead of the Brexit negotiations.

The dollar hovered near a 10-month low during early Asian trading as investors continued to doubt whether the United States would tighten monetary policy as aggressively as originally expected.

There are some important high-impact news items scheduled this week, primarily affecting the Euro, Japanese Yen, and Australian Dollar, as well as the Chinese Yuan. Therefore, volatility this week should be approximately the same as it was last week.

The Canadian Dollar, familiarly known as the Loonie, firmed against the greenback late on Thursday and extended earlier gains after the Bank of Canada’s announcement yesterday that it had raised the benchmark lending rate.

The Aussie and Kiwi Dollars benefited from the greenback’s slide after yesterday’s testimony by the head of the Federal Reserve suggested some caution ahead in terms of interest rates.

Asian shares headed towards a two-year peak during Thursday’s early trade after Federal Reserve Chair Janet Yellen made comments before a House committee on Wednesday that were interpreted by analysts to mean that the Fed won’t be raising interest rates as much as originally planned.

Increased oil production by Libya and Nigeria combined with increased production by Saudi Arabia lead the group’s total production to increase by 32.6 million barrels per day in June.

Oil prices extended their gains at the start of Wednesday’s Asian session after the U.S. government slashed its crude production expectations for next year and fuel inventories declined.

The US Dollar edged broadly higher, gaining especially on the common currency Euro and the Japanese Yen.

Randal Quarles is set to be nominated as the Federal Reserve’s top banking regulator, the White house announced on Monday.

The dollar steadied notably during early Asian trading on Monday after positive jobs data released on Friday supported continued policy tightening by the Federal Reserve including another interest rate hike later in the year.

There are a few very high-impact news items scheduled this week, primarily affecting the Canadian Dollar, as well as the U.S. Dollar which is the most important currency in the Forex market.

The US Dollar remained on a steady course in Asian trading and is poised to record gains for the week.