Euro/Dollar: the exchange rate of the currency pair
In comparison with the dollar, the euro rose to the level of 1.1456. On trading Thursday, the dynamics of trading was ambiguous. There were attempts to test the 1.1447 mark.
Ten-year US bonds declined in yield to the level of 1.701%.
The decline in the dollar index was triggered by the highest inflation in 40 years. By the end of December, the US CPI index grew by 7% year-on-year, which was the highest rate since the summer of 1982. The acceleration of inflation in monthly comparison coincided with analysts' forecasts and amounted to 6.8%.
The strengthening of inflation did not affect the support of the dollar, since the forecasts regarding the US Federal Reserve's PREP do not change. Experts believe that the base interest rate in March will be increased with a probability of 80%.
Economic statistics are expected to be published, which affects the growth of activity in the foreign exchange market. The US currency will be affected by the volume of retail sales, industrial production and the inflation rate of the University of Michigan.
Pound/Dollar: the exchange rate of the currency pair
The GBPUSD currency pair rate does not depart from last October's levels and is consolidating around 1.3710. The growing trend is growing, and the pound is supported by the monetary policy of the Bank of England.
The Kingdom's ten-year bonds fell in yield to 1.11%.
Due to the risks of tightening of the US PREP, the US currency stabilized after the maximum reduction in 3 months.
Statistics show an increase in inflation in the United States by 7%, which was the largest indicator in the last 30 years. According to analysts, many factors aggravate the situation.
The media writes that discussions of tightening monetary policy will not stop. The head of the Philadelphia Federal Reserve, Patrick Harker, in an interview with representatives of the Financial Times, announced his readiness for 3 interest rate increases in 2022.
At the end of the week, the trading activity of pairs with the pound will increase due to the publication of UK GDP by the end of December, the volume of industrial production, manufacturing production and the trade balance. If they are higher than forecast, the pound will strengthen.
The gold exchange rate is consolidating in the zone of December and January, and the target remains around $ 1,830. The support is the $1805 zone.
Trading on the US stock market ended with a fall due to negative dynamics in the technology, consumer and healthcare sectors. Thus, the Dow Jones fell by 0.49%, and the S&P 500 fell by 1.42%. Despite weak trading in US liquid securities, the situation with gold was optimistic.
The news had an impact on trading in liquid instruments. Thus, the Dow rose on Thursday after the peak of inflation in December. And the reduction of the healthcare sector and the heavyweights of the stock exchange relative to capitalization affected the S&P 500 and Nasdaq.
By the end of December, the slowdown in producer price growth in the United States turned out to be more than predicted. The number of new applications for unemployment benefits increased in the first days of January due to COVID-19. But it remains at the level of rapid market contraction.
The exchange rate of the BTC fell on Thursday, but the support was the level of $42450.
The cryptocurrency market on Thursday reached a capitalization of 2.03 trillion US dollars. News provokes sales. A new range has been traced since the beginning of the current month. It also affects sales.
Local markets support cryptocurrencies. According to the results of the 4th quarter of 2021, due to the fall of the Turkish lira, daily trading in cryptocurrencies with the participation of fiat currencies on 3 main sites increased to an average of $1.8 billion per day.
Tether is the most popular in Turkey. Representatives of CryptoCompare claim that in the fall the lira was recognized as one of the best-selling national currency in comparison with the stablecoin. dollar and euro. The media write that the Turks accept cryptocurrencies despite the restrictions of the Central Bank on them as a means of payment. According to experts, the government should develop a law to regulate cryptocurrencies, but at the moment it is unclear what this will lead to.
Today, activity in the financial markets and in the field of cryptocurrencies will increase under the influence of retail sales, industrial production and statistics from the University of Michigan.