High state-bond yields still support US dollar positions
On Tuesday, US dollar keeps staying strong against the majors taking benefit from the increasing state-bond yields. The currency is close to a multimonth peak now.
US Dollar index was seen at 90.77 today. Overnight the index even managed to exceed the highest level of 90.84 recorded since March.
Yesterday, 10-year US state-bonds reached the top-level over more than four years – 2.9985. The soaring yields are said to be related to the increasing chance for early interest rate revision by the Central Bank boosted by growing inflation prospects.
As a result, the euro-to-US dollar exchange rate plunged to 1.2193 by Tuesday. A similar development was seen in the GBP-USD pair – the sterling touched a month bottom at 1.3935.
At the same time, weaker sterling positions are also explained by the vague probability of the May interest rate increase. Notably, additional pressure came from the further Brexit talks
US dollar also peaked vs Japanese yen to 108.84. Demand for the yen as a safe haven slackens on improving the confidence of market insiders.
24 April, 2018 16:46
← CBI may not let local financial institutions deal with cryptos
Iran's Central Bank in tandem with the major market regulator stated that local business might not handle cryptocurrencies. The authorities are concerned that the digital coins can be used for terrorist funding and money laundering activities. As a result, the Central Bank of Iran released the note to ban this technology for the financial sector...
24 April, 2018 11:04
Cryptos rise in price →
Bitcoin and other cryptocurrencies got stronger on Tuesday, with the market making notice of Malta's support for cryptos. At the same time, the position of India's authorities towards crypto market remains unclear. On the Bitfinex, bitcoin changed hands at 2,218.9, while Ethereum, the second major coin was quoted at $675.2. Ripple was recorded at $0.90879 on the Poloniex...
Write a comment