The U.S. dollar was higher against major pairs on Friday, but not enough to end up the week on positive territory. A stock market rout took its toll on the greenback and the subsequent rebound in stock prices supported the currency ahead of the weekend.
The U.S. dollar was mixed Friday. The GBP deserves a special mention as positive Brexit rumors pushed it 0.61 percent higher against the USD. The American currency lost momentum as the U.S. non farm payrolls (NFP) headline jobs number disappointed with a 130,000 added positions, instead of the forecasted 188,000.
The U.S. Federal Reserve will host its two-day meeting on Tuesday and Wednesday. The Federal Open Market Committee will publish a statement followed by a press conference by Fed Chair Jerome Powell.
A rate lift by the U.S. central bank is highly anticipated and has been priced in to the dollar putting more focus on the words of the Fed chief.
The possibility of a new round on tariffs on Chinese goods is not helping equity markets this morning.
Deflection or negotiation, whatever the reason, markets continue to wait for the counter punch before throwing all in. China is not expected to be a willing dance partner in proposed trade talks later this month if the Trump administration goes ahead with the additional tariffs expected later today.
The U.S. dollar rose on Friday against all major pairs after a strong U.S. nonfarm payrolls report was published.
The U.S. added 201,000 jobs, but more importantly hourly wages beat expectations in August coming in at 0.4 percent. The market has priced in a rate hike by the Fed when Federal Open Market Committee members meet on September 25–26.
Continuing the increasing trend of shocking currency developments in recent years, global foreign exchange markets have witnessed drastic events recently.
Join us in this article as we take a look at 3 of the most severe currency devaluations in history—as well one to watch out for—and what businesses can learn to protect themselves from risk.
Risk aversion has risen as the NAFTA 2.0 negotiations between Canada and the U.S. continue but comments from both sides make it seem as though a deal is not close.
Prime Minister Justin Trudeau has emphasized that Canada is not seeking a deal at any costs, and that it would be better to have no deal than a bad one.