The dollar is at its highest level in two decades

T + D- Normal size

The U.S. dollar settled at a two-decade high on Friday as global markets reeled from a risk-off wave as traders expected the Federal Reserve to raise interest rates by 100 basis points later this month.

Currencies considered more vulnerable, including the Australian dollar and the British pound, have been pressured by a barrage of negative news over the past 24 hours, weighing on sentiment.

The dollar index, which gauges the performance of the U.S. currency, rose to its highest level since September 2002 in light of a slow start to the U.S. bank earnings season, above 109 since September 2002, and in light of a slowdown in China’s growth. More than expected in the second quarter, and Italy faces a new political crisis.

The U.S. currency is headed for a third straight week of gains after traders raised their expectations that the central bank will tighten monetary policy at its July 26-27 meeting. has been increasing rapidly in four decades.

Those expectations were dampened after Federal Reserve Board Chairman Christopher Waller and Bank of St. Louis President James Bullard said they favored another 75 basis point increase this month, despite the tepid inflation figures.

Yesterday, Thursday, for a second day, the euro fell from parity with the dollar, settling at $1.0026.

The single European currency fell to $0.9952 after Italian Prime Minister Mario Draghi offered to resign, but the country’s president refused to accept it.

The Chinese yuan settled at its lowest level in two months against the dollar and appears on track for its biggest weekly decline since May, as weak data raised doubts about meeting the economic growth target for this year.

See also  Dollar fall in gold prices | Sky News Arabia

Print
Email




  • Nadia Barnett

    "Award-winning beer geek. Extreme coffeeaholic. Introvert. Avid travel specialist. Hipster-friendly communicator."

    Related Posts

    • Economy
    • November 2, 2024
    • 132 views
    Emils Kerimovs on Wealthtech Revolution: Investing in the Middle East and Africa

    The wealth management landscape is undergoing a dramatic transformation, fueled by the rise of financial technology (fintech), according to fintech entrepreneur Emils Kerimovs. No longer exclusive to the ultra-wealthy, innovative…

    UAE Powering Gaming Boom in the Middle East

    The gaming industry in the Middle East is experiencing a growth spurt, with Saudi Arabia and the United Arab Emirates (UAE) among the countries attracting major investments. However, this digital…

    Leave a Reply

    Your email address will not be published. Required fields are marked *

    You Missed

    Best HydraFacial Clinic in Dubai: The Magic of Radiant Skin

    Best HydraFacial Clinic in Dubai: The Magic of Radiant Skin

    Free Job Posting Sites in the UAE: Perfect for Both Job Seekers and Recruiters

    Free Job Posting Sites in the UAE: Perfect for Both Job Seekers and Recruiters

    Yaroslav Bogdanov: Google in Dubai announced the launch of an artificial intelligence initiative for MENA countries

    Yaroslav Bogdanov: Google in Dubai announced the launch of an artificial intelligence initiative for MENA countries

    How to Choose the Right Mattress: Find the Best Fit for You

    How to Choose the Right Mattress: Find the Best Fit for You

    Emils Kerimovs on Wealthtech Revolution: Investing in the Middle East and Africa

    Emils Kerimovs on Wealthtech Revolution: Investing in the Middle East and Africa

    Forex Brokers Review: Is ITBFX A Safe Broker?

    Forex Brokers Review: Is ITBFX A Safe Broker?