Breaking News
Investing Pro 0
🚨 Our Pro Data Reveals the True Winner of Earnings Season Access Data

Forex - U.S. Dollar Flat; Fed Considers Wait-and-See Approach to Rate Hikes

Currencies Dec 06, 2018 11:57PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.
 
USD/JPY
-0.16%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
AUD/USD
+0.09%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
USD/CNY
+0.00%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
STT
+1.04%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
DX
-0.94%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

Investing.com - The U.S. dollar was flat on Friday in Asia following reports that the Federal Reserve is considering adopting a wait-and-see approach to rate hikes.

The U.S. Dollar Index that tracks the greenback against a basket of other currencies last traded at 96.787 by 11:54 PM ET (04:54 GMT), up 0.02%.

The Wall Street Journal reported that the Fed could tighten monetary policy at a slower pace than expected.

The news came after Fed chairman Jerome Powell delivered a bullish assessment of the U.S. economy on Thursday.

“Our economy is currently performing very well overall, with strong job creation and gradually rising wages,’’ said Powell in his final scheduled public remarks before the central bank goes into a blackout period before its Dec. 18-19 policy meeting. “In fact, by many national-level measures, our labour market is very strong.’’

The Fed is expected to raise interest rates again at its Dec. 18-19 meeting, which would be its fourth hike this year. However, traders have reportedly reduced their bets on 2019 rate increases amid stock-market losses and worries over an escalating trade war between the U.S. and China.

"We've already heard from (Fed Chairman Jerome) Powell that he thinks the neutral rate has moved quite far in quite a short period of time," said Bart Wakabayashi, Tokyo branch manager at State Street (NYSE:STT) Bank.

"The guidance going forward will be key to yields and equity market moves, which right now foreign exchange markets seem to be reacting to."


Meanwhile, the Chinese yuan fell 0.2% against the U.S. dollar as the People's Bank of China (PBOC) set the yuan reference rate at 6.8664 vs the previous day's fix of 6.8599.

The USD/JPY pair traded 0.2% higher after the Bank of Japan's (BoJ) Governor Kuroda said in a statement that a rate hike from the US Federal Reserve does not necessarily require a response move from the BoJ.

The central bank is watching knock-on risks from trade frictions and Brexit proceedings carefully, he added.

Elsewhere, the AUD/USD pair was unchanged at 0.7233.

Forex - U.S. Dollar Flat; Fed Considers Wait-and-See Approach to Rate Hikes
 

Related Articles

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.
  • Any comment you publish, together with your investing.com profile, will be public on investing.com and may be indexed and available through third party search engines, such as Google.

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
Continue with Google
or
Sign up with Email