The U.S. Dollar rose near 10 Day-Highs on Thursday against a basket of major currencies as a result of expectations that the U.S. inflation will pick up, although concerns about an escalation in U.S.-China trade tensions limited the greenback’s gains.
July 13, 2018The U.S. Dollar rose near 10 Day-Highs on Thursday against a basket of major currencies as a result of expectations that the U.S. inflation will pick up, although concerns about an escalation in U.S.-China trade tensions limited the greenback’s gains.
Meanwhile, The U.S index had risen as high as 94.71 in the close on Thursday, its highest since July 3, before bouncing back slightly as worries about deepening trade friction between the United States and China reduced gains.
The greenback was supported in part by a report of U.S. consumer prices on Thursday which showed a steady buildup of inflation pressure that could keep the Federal Reserve on a path of gradual interest rate increases.
The Euro fell against the U.S. Dollar to one week lower after the reaction to the ECB meeting minutes. The EURUSD was trading at 1.1670 at the close of the session on Thursday.
Furthermore, the dollar hit a fresh six-month high against the Japanese Yen to trade at 112.76 early on Friday; it had broken through the 112-yen barrier earlier in the week for the first time since Jan. 10.
In the Economic news, the main focus is on China’s trade data, which is due today and comes ahead of its second-quarter gross domestic product data this Monday.
While The British Pound fell by 0.2 percent against the U.S. Dollar in the Asian session on Friday to 1.3164 its lowest level since July 3, The instability of the British government is the main reason for the pound’s weakness. Two ministers stepped down, raising the prospect of a ‘hard Brexit’ and putting pressure on the pound.
The Canadian dollar strengthened against its U.S. counterpart on Thursday, rebounding from an earlier 10-day low, as oil prices steadied and investors weighed prospects of additional Bank of Canada interest rate hikes.
On the other hand, the AUDUSD was up by 0.5 percent to trade at 0.7407 at the close on Thursday’s session. Moreover, the Swiss franc gained 0.6 percent against the U.S. Dollar to trade at 1.0022 at the close of the session on Thursday; it is the highest level since May 17.
