The dollar declines and the Japanese yen strengthens this Tuesday as traders focus on the upcoming release of US inflation data and meetings of several Western central banks, Reuters reported on December 12.
The dollar index against a basket of six major currencies fell by 0.15% to 103.9 by 09.48 Moscow time.
The publication of the US consumer price index for November is expected on Tuesday at 16.30 Moscow time, and on Wednesday the two-day meeting of the US Federal Open Market Committee (FOMC) will end.
“Another upward surprise in inflation data could lead to markets abandoning expectations of an aggressive rate cut and the dollar to strengthen,” notes Christopher Vaughn from OCBC. “But softer data could cause dollar gains to slow.”
The Japanese yen rose 0.5% against the dollar to 145.43.
“There is talk that the Bank of Japan will move to raise rates, and there are suggestions that this could happen as early as next week,” he said in an interview with the British news agency Tom Kenny from ANZ. “A rate hike now appears premature given weak consumer spending.”
The focus is also on meetings of the European Central Bank and financial regulators in the UK, Norway and Switzerland this week.
The euro rose 0.1% to $1.0772.
Sterling rose 0.19% to $1.2577.
The Swiss franc strengthened 0.2% to $0.8765.
The Chinese yuan did not show any pronounced dynamics: on the mainland Chinese market, the national currency was trading near 7.175, and on the offshore market – near 7.1864.
2023-12-12 08:08:00
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