Category: Forex

Euro Slips as Germany Enters Recession, Dollar Hits 2-month Peak

LONDON—The euro dropped on Thursday as Europe’s largest economy Germany was confirmed to be in a recession, while the dollar hit a two-month peak, benefitting from safe-haven demand as worries mounted about a U.S. default. The latest concern was raised by ratings agency Fitch, who put the United States’ “AAA” debt ratings on negative watch,…


Dollar Steady as Debt Ceiling Worries Weigh; Pound Swings After Inflation Data

SINGAPORE/LONDON—The dollar on Wednesday held just shy of a two-month high as U.S. debt ceiling negotiations dragged on, while the pound firmed and then softened after stronger-than-expected British inflation data. Also in focus was the New Zealand dollar, which dived 1.8 percent after the country’s central bank flagged an end to rate hikes. The dollar…


Dollar Strengthens Broadly on Fed Rate Expectations

LONDON—The U.S. dollar rose for a second day on Tuesday, briefly touching a six-month peak against Japan’s yen, on expectations that U.S. interest rates will remain higher for longer, while ongoing debt ceiling negotiations kept investors on edge. Among a slew of Federal Reserve heavyweights who spoke on Monday, some hinted that the central bank…


Dollar Calm as Debt Ceiling Talks to Resume

LONDON—The dollar was steady against the euro and yen on Monday, as U.S. debt ceiling negotiations were set to resume and after Federal Reserve Chair Jerome Powell indicated he favours a meeting-by-meeting approach when it comes to future policy moves. The greenback was down 0.1 percent at 137.85 yen to start the week, having snapped…


Dollar Retreats From Highs but Debt Deal Optimism Fires Up Investors

LONDON—The dollar hovered close to its highest since March on Friday, as optimism over a breakthrough in U.S. debt ceiling talks and robust economic data reduced the chances of a series of U.S. rate cuts this year. Negotiators for Joe Biden’s Democrats told the president on Friday that they are making “steady progress” in talks…


Debt Ceiling Hopes Lift Dollar to 7-Week Peak

LONDON—The U.S. dollar hit a seven-week peak on Thursday after President Joe Biden and top U.S. congressional Republican Kevin McCarthy worked towards avoiding a damaging debt default, while investors scaled back Federal Reserve easing expectations. Biden and McCarthy on Wednesday underscored their determination to strike a deal soon to raise the government’s $31.4 trillion debt…


Euro Slips on GDP Data, Yen Slumps as BOJ Maintains Ultra-Low Rates

LONDON/SINGAPORE—The euro fell on Friday after economic data painted a mixed picture for growth and inflation across the eurozone, raising uncertainty around the size of the European Central Bank’s expected interest rate hike next week. Preliminary data showed gross domestic product in the eurozone expanded by 0.1 percent in the first quarter, below expectations in…


Swedish Crown Softens After Market Sees Riksbank Dovishness, Euro Rebounds

LONDON—The Swedish crown weakened sharply on Wednesday after the country’s central bank was less hawkish than expected, while the euro rebounded from losses a day earlier when jitters about the U.S. banking sector helped the safe-haven dollar. The euro rose as much as 1.05 percent against the crown to 11.426, set for its biggest one-day…


Dollar Higher on Earnings, Economy Worries; Euro Slips

LONDON—The dollar rose on Tuesday as worries about earnings and the outlook for the global economy deepened, which knocked the euro back from close to a 10-month high. The U.S. dollar index was last up around 0.2 percent at 101.37, having dropped over 3.3 percent since the beginning of March. News on Monday of plunging…


Dollar Gains, on Track for 2nd Straight Monthly Loss

SINGAPORE—The dollar began the last trading week of the month on a firmer footing, with traders awaiting a slew of central bank policy meetings that could signal how soon the steep increases in interest rates globally might come to an end. U.S. Federal Reserve policymakers are widely expected to raise rates by another 25 basis…