Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Dollar Up, Ends Week Almost Back Where it Started

ForexJul 23, 2021 12:46AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.

By Gina Lee

Investing.com – The dollar was up on Friday morning in Asia and was set to end the week not far from where it started. Investors took stock at the end of a volatile week in which currencies gyrated due to ever-changing risk appetite levels.

The U.S. Dollar Index that tracks the greenback against a basket of other currencies inched up 0.05% to 92.880 by 12:37 AM ET (4:37 AM GMT).

The USD/JPY pair inched up 0.10% to 110.25. Japanese markets were closed for a holiday, with the Tokyo Olympics due to open later in the day.

The AUD/USD pair inched down 0.01% to 0.7377 and the NZD/USD pair was up 0.21% to 0.6978.

The USD/CNY pair inched up 0.04% to 6.4722 and the GBP/USD pair inched down 0.01% to 0.3761.

The greenback is in for a weekly gain of 0.1% but made very small moves overnight. It was, however, down from the three-and-a-half-month high of 93.194 hit on Wednesday as investors regained some of the confidence lost as the number of COVID-19 cases involving the Delta variant rose globally.

Investors also digested the European Central Bank (ECB)’s policy decision handed down on Thursday. The ECB pledged to maintain its dovish monetary policy, as widely expected, and the euro was 0.2% lower over the period at $1.1779 after the decision. Bank Indonesia also handed down its policy decision on Thursday.

The uptrend in the dollar index is "showing tentative signs" of stalling around 93.0, "but its overall resilience regardless of the shifting risk mood and the ECB's shift to a more structurally dovish policy stance suggest retracements will likely be limited to the 91.5-92.0 zone," Westpac analysts said in a note.

Investors now await the U.S Federal Reserve’s meeting next week.

"The U.S. is better positioned than others to withstand the spread of the delta variant thanks to its earlier strong vaccination drive,” the note added.

Back in the Asia-Pacific region, the riskier Australian dollar headed for a 0.2% fall, which would be a fourth consecutive weekly decline. Australia tightened its current lockdown in Sydney as the city reported its biggest daily rise in new COVID-19 cases in 2021 and prompted speculation that the Reserve Bank of Australia could increase stimulus rather than decreasing it when it next meets.

"The balance of risks point to more weakness in the Australian dollar in the near term," Commonwealth Bank of Australia (OTC:CMWAY) strategist Joseph Capurso said in his own note.

Across the Tasman Sea, the record number of cases in Sydney prompted New Zealand to pause its quarantine-free travel arrangement with Australia for at least eight weeks starting later in the day, said New Zealand Prime Minister Jacinda Ardern.

Dollar Up, Ends Week Almost Back Where it Started
 

Related Articles

Column: Dollar smiling from ear to ear
Column: Dollar smiling from ear to ear By Reuters - Sep 22, 2021

By Mike Dolan LONDON (Reuters) - Whether investors run for the hills or not after the past week's stock market shakeout, the episode provides a glimpse of where to run for cover -...

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email