FOREX TradingCharts.com

Forex News: U.S. Dollar Climbs On Looming Fed Rate Hikes

U.S. Dollar Climbs On Looming Fed Rate Hikes

04/28/2022 - 10:40:00 (RTTNews)

(RTTNews) - The U.S. dollar advanced against its major counterparts in the European session on Thursday, as the prospects of faster rate hikes by the U.S. Federal Reserve supported the currency.

Investors are expecting the Fed to raise rates by 50 basis points at each of the next three meetings in an attempt to combat inflation.

Fed Chairman Jerome Powell confirmed last week that a 50 basis point hike would be on the table at the meeting in May. The Fed meeting is due next week.

U.S. treasury yields rose, with the benchmark 10-year yield touching 2.88 percent.

Strong earnings reports lifted European markets.

Data from the Commerce Department showed that U.S. economic activity unexpectedly contracted in the first quarter of 2022.

The report said real gross domestic product declined by 1.4 percent in the first quarter after spiking by 6.9 percent in the fourth quarter of 2021. The pullback surprised economists, who had expected GDP to increase by 1.1 percent.

Data from the Labor Department showed that first-time claims for U.S. unemployment benefits edged slightly lower in the week ended April 23.

The report showed initial jobless claims dipped to 180,000, a decrease of 5,000 from the previous week's revised level of 185,000.

The greenback has been trading higher against its key counterparts in the Asian session.

The greenback firmed to a 20-year high of 131.01 against the yen and more than a 5-year high of 1.0471 against the euro, from Wednesday's closing values of 128.42 and 1.0555, respectively. The greenback is seen challenging resistance around 132.00 against the yen and 1.01 against the euro.

The greenback touched near 2-year highs of 1.2421 against the pound and 0.9759 against the franc, up from yesterday's closing values of 1.2540 and 0.9690, respectively. The greenback may find resistance around 1.215 against the pound and 0.99 against the franc.

The greenback jumped to near a 2-year high of 0.6454 against the kiwi and near a 2-month high of 1.2880 against the loonie, compared to 0.6542 and 1.2814, respectively hit at Wednesday's close. Next key resistance for the dollar is seen around 0.63 against the kiwi and 1.30 against the loonie.

The greenback resumed its early rally against the aussie and reached 0.7061, which was its highest level since February 4. The greenback was worth 0.7125 per aussie at Wednesday's New York session close. On the upside, 0.69 is likely seen as its next resistance level.

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2022 RTTNews.com. All Rights Reserved

Market News provided by RTTNews

RECENT FOREX and ECONOMIC NEWS STORIES


Euro Falls Amid Global Growth Concerns (04 hr(s), 45 min(s), 34 sec(s) ago)
(RTTNews) - The euro declined against its most major rivals in the European session on Thursday, a ...Full Story»

Euro Little Changed After ECB Minutes (07 hr(s), 33 min(s), 33 sec(s) ago)
(RTTNews) - The European Central Bank has published the account of the monetary policy meeting of ...Full Story»

U.S. Dollar Showing Weakness Against Majors (08 hr(s), 03 min(s), 33 sec(s) ago)
(RTTNews) - The U.S. dollar weakened against its major rivals in the European session on Thursday ...Full Story»

Dollar Little Changed After U.S. Housing Starts (06 hr(s), 33 min(s), 34 sec(s) ago)
(RTTNews) - U.S. building permits and housing starts have been released at 8:30 am ET Wednesday. T ...Full Story»

Loonie Advances After Canada CPI (06 hr(s), 33 min(s), 34 sec(s) ago)
(RTTNews) - Canada consumer inflation for April has been released at 8:30 am ET Wednesday. After t ...Full Story»

Loonie Mixed Ahead Of Canada CPI (06 hr(s), 45 min(s), 34 sec(s) ago)
(RTTNews) - Canada consumer inflation for April is due at 8:30 am ET Wednesday. Ahead of the data, ...Full Story»

U.S. Dollar Climbs On Powell's Hawkish Remarks (07 hr(s), 24 min(s), 34 sec(s) ago)
(RTTNews) - The U.S. dollar moved up against its most major opponents in the European session on W ...Full Story»

Pound Weakens Following Soft U.K. Inflation Data (09 hr(s), 42 min(s), 34 sec(s) ago)
(RTTNews) - The pound dropped against its major rivals in the early European session on Wednesday, ...Full Story»

Search

FOREX NEWS

Euro Falls Amid Global Growth Concerns

05/19/2022 - 10:25 AM (RTTNews)
(RTTNews) - The euro declined against its most major rivals in the European session on Thursday, a ...Full Story>>

Euro Little Changed After ECB Minutes

05/19/2022 - 07:37 AM (RTTNews)
(RTTNews) - The European Central Bank has published the account of the monetary policy meeting of ...Full Story>>

U.S. Dollar Showing Weakness Against Majors

05/19/2022 - 07:06 AM (RTTNews)
(RTTNews) - The U.S. dollar weakened against its major rivals in the European session on Thursday ...Full Story>>

Loonie Advances After Canada CPI

05/18/2022 - 08:38 AM (RTTNews)
(RTTNews) - Canada consumer inflation for April has been released at 8:30 am ET Wednesday. After t ...Full Story>>

Dollar Little Changed After U.S. Housing Starts

05/18/2022 - 08:37 AM (RTTNews)
(RTTNews) - U.S. building permits and housing starts have been released at 8:30 am ET Wednesday. T ...Full Story>>

Do not sell my personal information

Copyright © 2022. 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.