Trading & Financial News
No Result
View All Result
Friday, April 18, 2025
  • Login
  • Economy
  • Markets
  • Forex News
  • Investing
  • Stock Trading
  • Crypto
Subscribe
Trading & Financial News
  • Economy
  • Markets
  • Forex News
  • Investing
  • Stock Trading
  • Crypto
No Result
View All Result
Trading & Financial News
No Result
View All Result
Home Forex News

Dollar gains on geopolitical tensions, pound slips after rate cut By Reuters

by Tradinghow
August 1, 2024
in Forex News
A A
0
Dollar gains on geopolitical tensions, pound slips after rate cut By Reuters
152
SHARES
1.9k
VIEWS
Share on FacebookShare on Twitter


By Karen Brettell

NEW YORK (Reuters) – The dollar gained on Thursday as rising geopolitical tensions drove a safe-haven boost, while the British pound fell after the Bank of England cut interest rates from a 16-year high.

Concerns about a widening conflict in the Middle East intensified after Hamas leader Ismail Haniyeh was assassinated in the Iranian capital, Tehran, on Wednesday morning, drawing threats of revenge on Israel.

“We are looking at the threat of outright conflict breaking out in the Middle East,” said Karl Schamotta, chief market strategist at Corpay in Toronto. “That is supporting the dollar’s safe-haven appeal.”

The dollar also bounced as a selloff on Wednesday following dovish comments by Federal Reserve Chair Jerome Powell at the conclusion of the U.S. central bank’s two-day meeting was seen as possibly overdone.

“Although Jerome Powell was extremely dovish in the press conference, the statement released by the Federal Open Market Committee really sounded more balanced,” said Schamotta.

Powell said that interest rates could be cut as soon as September if the U.S. economy follows its expected path. The Fed’s policy statement on Wednesday cited “some further progress toward the (Federal Open Market) Committee’s 2% objective,” while noting that the unemployment rate, at 4.1%, “remains low.”

Traders are now fully pricing in three 25-basis-point rate cuts by year-end, indicating one cut at each of the Fed’s September, November and December meetings.

The next major U.S. economic release that is likely to drive Fed policy will be Friday’s jobs report for July. It is expected to show that employers added 175,000 jobs during the month, while the unemployment rate is expected to stay steady at 4.1%.

Data on Thursday showed that the number of Americans filing new applications for unemployment benefits increased to an 11-month high last week.

The was last up 0.35% at 104.41.

Tumbling stocks also likely boosted the safe-haven appeal of the U.S. currency.

Sterling slipped 0.96% to $1.2733, the lowest level since July 3, after the Bank of England cut interest rates following a tight vote by policymakers, who were split over whether inflation pressures had eased sufficiently.

Governor Andrew Bailey led the 5-4 decision to reduce rates by a quarter-point to 5%, and he said the BoE would move cautiously going forward.

“If you look at the headlines that Bailey produced: caution on cutting too quickly or by too much, it implies to me that they’re looking at sort of a steady quarterly pace of reductions,” said Colin Asher, economist at Mizuho.

The euro touched a three-week low of $1.07775 and was last down 0.36% at $1.07865.

The Japanese yen edged higher, a day after a dramatic rally following the Bank of Japan’s decision to hike rates to 0.25%, the highest since 2008.

The yen has gained since hitting a 38-year low of 161.96 against the dollar on July 3, boosted by interventions by Japanese authorities and by traders unwinding carry trades in which they were short the yen and long U.S. dollar assets.

The dollar was last down 0.21% at 149.65 yen . It earlier reached 148.51, the lowest since March 15.

https://primexbt.investments/start_trading/?cxd=459_549985&pid=459&promo=[afp7]&type=IB https://primexbt.investments/start_trading/?cxd=459_549985&pid=459&promo=[afp7]&type=IB https://primexbt.investments/start_trading/?cxd=459_549985&pid=459&promo=[afp7]&type=IB

In cryptocurrencies, bitcoin fell 2.68% to $62,848.





Source link

  • Trending
  • Comments
  • Latest
The Evolving International Cannabis Landscape

The Evolving International Cannabis Landscape

March 20, 2024
UK Faces Two Decades of No Earnings Growth and More Austerity

UK Faces Two Decades of No Earnings Growth and More Austerity

July 29, 2023
Emirates Steel drops interest in Thyssenkrupp steel unit

Emirates Steel drops interest in Thyssenkrupp steel unit

July 27, 2023
Uniswap Launches Permissionless Bridging Across 9 Networks

Uniswap Launches Permissionless Bridging Across 9 Networks

October 24, 2024
High Street Retailers Pin Hopes On Discount Splurge In Black Friday Fever

High Street Retailers Pin Hopes On Discount Splurge In Black Friday Fever

0
UK Faces Two Decades of No Earnings Growth and More Austerity

UK Faces Two Decades of No Earnings Growth and More Austerity

0
Learn how to trade. For beginners

Learn how to trade. For beginners

0
Trading for beginners

Trading for beginners

0
5 Charts from a Volatile 2 Weeks

5 Charts from a Volatile 2 Weeks

April 18, 2025
Kim Soo Hyun breaks silence on financial trouble amid lawsuit discrepancy: ‘We did not fail to pay…’ | Web-series News

Kim Soo Hyun breaks silence on financial trouble amid lawsuit discrepancy: ‘We did not fail to pay…’ | Web-series News

April 18, 2025
Mortgage Rate Fatigue? Here’s How to Get Off the Seesaw of Wondering When to Buy

Mortgage Rate Fatigue? Here’s How to Get Off the Seesaw of Wondering When to Buy

April 18, 2025
TransPacific Cargo Trade Decimated by Trump’s Tariff War

TransPacific Cargo Trade Decimated by Trump’s Tariff War

April 18, 2025

Recent News

5 Charts from a Volatile 2 Weeks

5 Charts from a Volatile 2 Weeks

April 18, 2025
Kim Soo Hyun breaks silence on financial trouble amid lawsuit discrepancy: ‘We did not fail to pay…’ | Web-series News

Kim Soo Hyun breaks silence on financial trouble amid lawsuit discrepancy: ‘We did not fail to pay…’ | Web-series News

April 18, 2025

Categories

  • Business
  • Crypto
  • Economy
  • Forex News
  • Investing
  • Markets
  • More
  • Stock Trading
  • Trading for beginners

Site Navigation

  • Home
  • Contact Us
  • Stock Trading
  • Markets
  • Investing
  • Other Links
  • Privacy & Policy
Trading & Financial News

We bring you the fastest breaking news on Trading, forex, and finance submitted from credible and reliable news sources around the world.

© 2023 Tradinghow Useful forex analysis and financial news, submitted by credible news sources around the world.tradinghow.

No Result
View All Result
  • Contact Us
  • Home
  • Economy
  • Crypto
  • Investing
  • Markets
  • Forex News
  • Stock Trading

© 2023 Tradinghow Useful forex analysis and financial news, submitted by credible news sources around the world.tradinghow.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In