FOREX TradingCharts.com

Forex News: U.S. Dollar Appreciates As Fed's Clarida Reinforces Hopes

U.S. Dollar Appreciates As Fed's Clarida Reinforces Hopes For Higher Interest Rates

08/05/2021 - 04:13:00 (RTTNews)

(RTTNews) - The U.S. dollar was higher against its major counterparts in the Asian session on Thursday, as hawkish comments from Federal Reserve Vice Chairman Richard Clarida cemented expectations for a hike in interest rate in early 2023.

Speaking at an online event hosted by the Peterson Institute for International Economics, Clarida said that criteria for raising rates could be achieved by the end of 2022, warranting an action in early 2023.

Although the labor market recovery is far from desired levels, inflation has exceeded the Fed's 2 percent goal. Clarida said he expects the labor market to have reached the maximum employment goal by the end of 2022.

"Given this outlook and so long as inflation expectations remain well anchored at the 2% longer-run goal . commencing policy normalization in 2023 would, under these conditions, be entirely consistent with our new flexible average inflation targeting framework," he added.

Overnight data from the Institute for Supply Management showed that service sector registered a record expansion in July.

The greenback held at 8-day peaks of 1.1830 against the euro and 1.3872 against the pound. The greenback had ended yesterday's deals at 1.1837 against the euro and 1.3888 against the pound.

The greenback rose to a 3-day high of 109.75 against the yen and a 1-week high of 0.9078 against the franc, off its early lows of 109.46 and 0.9053, respectively. The greenback is likely to face resistance near 112.00 against the yen and 0.92 against the franc.

The greenback gained to 1.2548 against the loonie and held steady thereafter. At yesterday's close, the pair was worth 1.2538.

The greenback, meanwhile, eased off from its early highs of 0.7375 against the aussie and 0.7037 against the kiwi. Next key support for the currency is seen around 0.75 against the aussie and 0.72 against the kiwi.

Looking ahead, U.K. construction PMI for July is set for release in the European session.

The Bank of England's monetary policy announcement is due at 7:00 am ET. The Monetary Policy Committee is widely expected to hold the key rate at a record low of 0.10 percent and the quantitative easing programme at GBP 895 billion.

U.S and Canadian trade data for June and U.S. weekly jobless claims for the week ended July 31 will be featured in the New York session.

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2021 RTTNews.com. All Rights Reserved

Market News provided by RTTNews

RECENT FOREX and ECONOMIC NEWS STORIES


Dollar Little Changed After U.S. Durable Goods Orders (08 min(s), 28 sec(s) ago)
(RTTNews) - The U.S. durable goods orders for August have been published at 8:30 am ET Monday. The ...Full Story»

Dollar Mixed Ahead Of U.S. Durable Goods Orders (59 min(s), 27 sec(s) ago)
(RTTNews) - The U.S. durable goods orders for August are due at 8:30 am ET Monday. The greenback t ...Full Story»

Australian, NZ Dollars Advance Amid Rising Oil Prices, Stimulus Hopes (17 min(s), 28 sec(s) ago)
(RTTNews) - The Australian and NZ dollars climbed against their major counterparts in the Asian se ...Full Story»

Japanese Yen Appreciates Amid China's Crackdown On Crypto, Evergrande Fears (05 min(s), 28 sec(s) ago)
(RTTNews) - The Japanese yen climbed against its most major counterparts in the European session o ...Full Story»

U.S. Dollar Firms On Early Fed Rate Hike Hopes (14 min(s), 28 sec(s) ago)
(RTTNews) - The U.S. dollar gained ground against its major counterparts in the early European ses ...Full Story»

Australian Dollar Eases Amid Evergrande Worries (17 min(s), 27 sec(s) ago)
(RTTNews) - The Australian dollar retreated from its early highs against its most major counterpar ...Full Story»

Pound Rises Further After BoE Decision (35 min(s), 27 sec(s) ago)
(RTTNews) - As expected, the Bank of England kept its key rate at 0.10 percent and quantitative ea ...Full Story»

Pound Climbs Ahead Of BoE Decision (26 min(s), 28 sec(s) ago)
(RTTNews) - At 7.00 am ET Thursday, the monetary policy announcement is due from the Bank of Engla ...Full Story»

Search

FOREX NEWS

Dollar Little Changed After U.S. Durable Goods Orders

09/27/2021 - 08:38 AM (RTTNews)
(RTTNews) - The U.S. durable goods orders for August have been published at 8:30 am ET Monday. The ...Full Story>>

Dollar Mixed Ahead Of U.S. Durable Goods Orders

09/27/2021 - 08:28 AM (RTTNews)
(RTTNews) - The U.S. durable goods orders for August are due at 8:30 am ET Monday. The greenback t ...Full Story>>

Australian, NZ Dollars Advance Amid Rising Oil Prices, Stimulus Hopes

09/27/2021 - 03:47 AM (RTTNews)
(RTTNews) - The Australian and NZ dollars climbed against their major counterparts in the Asian se ...Full Story>>

Japanese Yen Appreciates Amid China's Crackdown On Crypto, Evergrande Fears

09/24/2021 - 10:35 AM (RTTNews)
(RTTNews) - The Japanese yen climbed against its most major counterparts in the European session o ...Full Story>>

U.S. Dollar Firms On Early Fed Rate Hike Hopes

09/24/2021 - 04:42 AM (RTTNews)
(RTTNews) - The U.S. dollar gained ground against its major counterparts in the early European ses ...Full Story>>

Do not sell my personal information

Copyright © 2021. All market data is provided by Barchart Solutions. Information is provided "as is" and solely for informational purposes, not for trading purposes or advice. To see all exchange delays and terms of use, please see disclaimer.