© Reuters. US dollar banknotes in an illustration from Reuters archives.
SINGAPORE (Reuters) – The dollar fell broadly on Wednesday and hit its lowest level in more than three months against its major counterparts, while the New Zealand dollar rose after the central bank signaled the possibility of further interest rate hikes in the future.
In the latest trading, the New Zealand dollar rose 0.78 percent to $0.6184, after rising more than one percent earlier in the session to the highest level in four months at $0.6207.
This came after the Reserve Bank of New Zealand warned on Wednesday that further policy tightening may be needed if price pressures persist.
The Australian dollar fell 0.11 percent to $0.6642, paring some of its gains after rising to a four-month high of $0.66765 earlier in the session.
Data released on Wednesday showed Australian inflation fell more than expected in October as commodity prices fell, while core inflation also fell.
In the broader currency market, the US dollar fell to its lowest level in more than three months against a basket of currencies to 102.46, with increasing bets that the Federal Reserve (central bank) may start cutting interest rates early next year.
The dollar fell more than 0.5 percent to 146.675 yen, the lowest level in more than two months. It was recorded in the latest transactions at 147.06 yen.
It rose again to above $1.10, hitting the highest level in more than three months at $1.1017. It was last traded at $1.0998.
The pound also rose to its highest level in three months at $1.2733, and was traded in the latest transactions at $1.27155.
The latest reading settled at 102.63.
The index is heading for a loss of about four percent in November, its worst monthly performance in a year.
(Prepared by Duaa Muhammad for the Arabic Bulletin)
2023-11-29 07:30:00
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