Dollar scores modest gains after Yellen's testimony

Economies.com
2016-02-10 16:30PM UTC

The U.S. dollar rose today versus its rivals but tentatively after getting buoyed by Yellen's testimony ahead of Congress, asserting in it the central bank's dependence on economic data and inflation forecasts to set its policy.  

 

The dollar index, which measures the U.S. unit against a basket of rivals, last traded at 96.36, up from the opening level of 96.05, with an intraday high at 96.73, and a low at 95.84. The index hit a four-month low yesterday at 95.84. 

 

Yellen said that a better-than-expected improvement in U.S. economic data will push the bank to accelerate its scheme of rate hikes, and the opposite is true, which comes as Yellen signals that current conditions don't support growth.  

 

As for inflation, Yellen expects it to remain low under the pressure of falling oil prices, but pointed that in the medium term, inflation rates are expected to reach the bank's target of 2%. 

 

Dollar's rise after Yellen's testimony comes as expectations remain modestly upbeat for the U.S. economy with no treacherous knocks that would dissuade the Fed from hiking rates, but current tensions in financial markets could force the bank to delay its hikes this year. 

Forex and Currency News

Forex News

Forex

Dollar hits six-week high ahead of US growth data
2024-03-28 11:38AM UTC
US Dollar's Rise in European Trade The US dollar rose in European trade on Thursday against a ...
EUR/USD news

Forex

Euro sharpens decline to five-week trough on the interest rate gap
2024-03-28 08:30AM UTC
Euro declined in European trade on Thursday against a basket of major rivals, sharpening losses for ...
Forex News

Forex

Dollar under pressure ahead of Christopher Waller's speech
2024-03-27 11:18AM UTC
The dollar declined in European trade on Wednesday against a basket of major rivals away from ...

Forex Technical Analysis

EUR USD Analysis

Forex

End of day EURUSD price forecast update - 28-03-2024
2024-03-28 17:42PM UTC
The EURUSD price provided additional negative trades to reach the thresholds of the first waited ...
NZD USD Analysis

Forex

The NZDUSD price forecast update 28-03-2024
2024-03-28 10:19AM UTC
NZDUSD Price Analysis The NZDUSD price resumes its negative trading to move away from 0.6000$ ...
AUD USD Analysis

Forex

The AUDUSD price forecast update 28-03-2024
2024-03-28 10:19AM UTC
AUDUSD Price Analysis The AUDUSD price achieved initial break to 0.6500$ level and closed the ...