U.S. dollar stays strong as markets price In another Fed hike
- On Tuesday, the dollar hovered near a two-month high as Treasury yields climbed, supported by expectations of further Federal Reserve rate hikes. The dollar index measured 101.2, on track for a 1.8% advance this month.
- According to CME Group's FedWatch tool, markets now see a more than 70% chance of a rate hike at the end of October, up from 57% a week ago. The Fed previously raised rates by 25 basis points to 3.75%-4.00%.
- Japan's top currency diplomat Atsushi Mimura warned markets to heed the 'very clear' warning Tokyo and Washington delivered last week regarding the yen. Brent crude prices meanwhile remain near $106 a barrel amid ongoing Middle East tensions.
- Investors are awaiting crucial U.S. economic data releases later this week, including the PCE price index on Wednesday and nonfarm payrolls on Friday, both expected to support the case for further Fed rate hikes.
- Joseph Capurso, head of foreign exchange at the Commonwealth Bank of Australia, said the U.S. economy appears exceptional, potentially pushing interest rates higher compared to elsewhere. Markets have gradually grown desensitized to oil moves, neutralizing boost from Treasury yields.
16 Articles
16 Articles
![[your]NEWS](/_next/image?url=https%3A%2F%2Fgroundnews.b-cdn.net%2Finterests%2Ffb6dc495f74049f513563c33352175eaa0ecd509.jpg%3Fwidth%3D24&w=64&q=75){kind=small}
Dollar Holds Near Two-Month High as Oil Prices and Treasury Yields Rise
The U.S. dollar edged higher on Tuesday, remaining close to a two-month high as rising oil prices and a sharp increase in U.S. Treasury yields supported the currency, while investors awaited key economic data that could provide fresh clues about the Federal Reserve's interest rate plans.
The dollar kept its gains close to its highest level in two months, supported by high revenues from treasury bonds and oil fluctuations, while markets await inflation data and US jobs to look ahead to the interest path.
Dollar holds near two-month peak as yields rise, Fed data looms - Regional Media News
(Corrects verb tense in headline) By Jiaxing Li HONG KONG, Sept 29 (Reuters) - The dollar hovered near a two-month high on Tuesday as volatile oil prices and a rapid climb in Treasury yields lent support, although gains were limited as traders awaited US data [...]
Today, the United States dollar is close to its highest level in two months, backed by oil price fluctuations and the rapid rise in treasury returns, but gains have been limited as customers expect American statements this week in search of interest-rate-track indicators.
Coverage Details
Bias Distribution
- 50% of the sources lean Right
![[your]NEWS](/_next/image?url=https%3A%2F%2Fgroundnews.b-cdn.net%2Finterests%2Ffb6dc495f74049f513563c33352175eaa0ecd509.jpg%3Fwidth%3D60&w=128&q=75)
Factuality
To view factuality data please Upgrade to Premium
