Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Dollar eases off highs but remains broadly supported

Published 09/22/2014, 07:58 AM
Updated 09/22/2014, 07:58 AM
Dollar remains near recent highs vs. rivals

Dollar remains near recent highs vs. rivals

Investing.com - The dollar eased back from six year peaks against the yen and backed off 14-month highs against the euro on Monday, but the greenback still remained broadly supported by expectations for an early U.S. rate hike.

USD/JPY was steady at 109.05, not far from Friday's six-year peak of 109.45.

The dollar remained supported as signs that the economic recovery is making solid progress fuelled expectations that the Fed will hike interest rates sooner than markets are expecting.

Last week, the Fed offered fresh guidance on its plans to raise interest rates, outlining in more detail how it will start to raise short term interest rates when the time comes.

In contrast, the Bank of Japan and the European Central Bank look likely to stick to a loose monetary policy stance amid concerns over patchy economic growth.

EUR/USD edged up 0.13% to 1.2846, slightly recovering from Friday’s lows of 1.2827.

The pound was higher, with GBP/USD rising 0.33% at 1.6339.

The pound rose to two-week highs against the greenback on Friday after voters in Scotland chose to stay in the U.K. by a significant margin in a independence referendum, defying opinion polls which had indicated that the final result would be too close to call.

The pound's rally was short lived however as investors began to turn their attention back towards the Bank of England’s monetary policy stance, with the referendum issue out of the way.

The dollar edged lower against the Swiss franc, with USD/CHF slipping 0.13% to 0.9395, pulling away from recent one-year highs of 0.9433.

The New Zealand and Australian dollars were lower, with NZD/USD down 0.11% to 0.8114 and AUD/USD retreating 0.66% to 0.8871. Meanwhile, USD/CAD gained 0.39% to 1.0994.

The US Dollar Index, which tracks the performance of the greenback versus a basket of six other major currencies, slipped 0.12% to 84.83, still near highs of 84.90, the strongest level since July 2010.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.