DJIA25400.64
LIVE-147.63(-0.58%)
NDX9416.71
LIVE-25.34(-0.27%)

Dollar surrenders to euro and yen as rate supremacy ends


Friday, 6 March 2020 08:42 WIB

DOLLARCurrency Yen Euro


c_740_198_16777215_00_images_assets_CURRENCY2_68dollar.jpg

The dollar nursed savage losses against the yen and euro on Friday as a plunge in U.S. yields to record lows wiped out the currency's single greatest attraction for investors - higher interest rates.

Mounting fears over the fallout from the coronavirus has driven a truly tectonic shift in expectations for U.S. rates as markets wager the Federal Reserve will have to cut rates by 50 basis points for a second time this month.

In particular, were the euro to close above the December peak of $1.1239, it would breach a down channel from August 2018 and signal a clear break of the bull trend.

The single currency was almost there, being up at $1.1226 (EUR=) on Friday having surged 0.9% overnight and a world away from the February trough of $1.0775. It was already up 1.9% for the week which would be the largest such gain since June 2017.

There were lots of other miserable milestones, with the dollar sinking to a six-month low on the yen at 105.96 having shed 1.2% overnight. The next bear targets were 105.72 and 104.44, lows from August and September last year.

Source : Reuters


RELATED NEWS

  • The euro continued to rise on Thursday, boosted by a 750 billion euro (673.70 billion pounds) EU plan to prop up the bloc’s coronavirus-hit economies, though gains were limited as doubts about deliver...

POPULAR NEWS

DISCLAIMER

Seluruh materi atau konten yang tersaji di dalam website ini hanya bersifat informatif saja, dan tidak dimaksudkan sebagai pegangan serta keputusan dalam investasi atau jenis transaksi lainnya. Kami tidak bertanggung jawab atas segala akibat yang timbul dari penyajian konten tersebut. Semua pihak yang mengunjungi website ini harus membaca Terms of Service (Syarat dan Ketentuan Layanan) terlebih dahulu dan dihimbau untuk melakukan analisis secara independen serta memperoleh saran dari para ahli dibidangnya.