Schedule euro to dollar intervals in minutes
The euro held at an eight-week high against the dollar on Monday, despite a disappointing review of sentiment in Germany, as markets expect the US Federal Reserve to maintain its dovish stance on the monetary policy meeting, putting pressure on the dollar.
German business morale improved less than expected in April as the third wave of COVID-19 infections and supply problems in the industrial sector slowed the recovery of Europe’s largest economy.
“Both the third wave of infections and bottlenecks in supply chains are hampering the recovery of the German economy,” Ifo President Clemens Fuest said in a statement.
The euro lost some of its previous gains and climbed 0.03% to $ 1.2105 at 08:23 GMT, levels not seen since early March.
On Friday, the single currency posted its biggest daily gains since early February after positive data on the European services sector and manufacturing activity lifted the mood of market players.
The dollar index was down 0.13% to its lowest level since March 3.
The next Fed meeting will close on Wednesday, and while no major policy changes are expected, investors will pay close attention to Chairman Jerome Powell’s comments.
Powell is likely to face questions about whether improved labor markets and more coronavirus vaccinations justify lifting monetary easing, but most analysts expect him to say such talk is premature, putting downward pressure on yields. treasury bonds and dollar.
“The Fed has been able to convince the market that it may start considering a rate normalization, let alone a rate hike, because – in their own words – it will happen ‘someday,’” John Velis, strategist at BNY Mellon, wrote to clients.
The dollar was worth 107.68 yen, close to the lowest level since March 4.
The British pound rose 0.3% to hit $ 1.3924, adding 0.3% in the previous session.
In emerging markets, the Turkish lira fell to 8.48 against the dollar, close to a record low of 8.58 hit in early November.
The currency, one of the worst in emerging markets this year due to a deterioration in relations with the United States and concerns about a softening of policy by the new head of the central bank, was last quoted at 8.33.
The continental yuan climbed to 6.4873 per dollar, just below a six-week high.
The Australian and New Zealand dollars climbed to monthly highs.
In the cryptocurrency market, Bitcoin has recovered to $ 50,000, last traded up 7.6% to $ 52,862 and has recouped some of its losses since last week caused by US President Joe Biden’s plan to raise capital gains tax for wealthy investors. …