© Reuters. American dollars in different denominations in a photo from the Reuters archive.
NEW YORK (Reuters) – The dollar rebounded from a two-week low Wednesday as 10-year yields rose to a 14-year high, while the pound fell after consumer price inflation in Britain, higher than he expected, heightened fears of a worsening recession. .
The dollar reached its highest level in 32 years against the approach of the 150 barrier, according to some traders the Bank of Japan and the Ministry of Finance could intervene to buy the currency.
Treasury yields resumed their upward trajectory as investors maintained their expectations that the Federal Reserve would continue to aggressively raise interest rates to curb inflation, increasing demand for the US currency.
The US central bank is expected to raise interest rates by another 75 basis points when it meets on November 1 and 2, with the option to raise them again by 50 or 75 basis points in December.
It was up 0.88 percent against a basket of major currencies at 112.92. It fell 0.95% to $ 0.9771.
The pound fell 1.02% to $ 1.1210 after data showed that UK annual consumer price inflation rose more-than-expected to 10.1% in September and returned to the level. highest in the last 40 years recorded in July.
Investors expect the pound to remain under pressure due to expectations of rising inflation and recession in Britain, which could prompt the Bank of England to raise interest rates by 75 basis points instead of 100 at its November meeting. .
And the dollar rose in late trading on Wednesday by 0.43 percent to 149.87 yen.
(Prepared by Ahmed El-Sayed for the Arabic Bulletin – Edited by Mustafa Saleh)
