Latest News
Click Here to read UK News
Click Here to read Forex News
Click Here to read Market News
-
Wall St bounce, upbeat earnings lift European stocks
Published at 20/01/2021 at 17:24 -
Miners lead FTSE 100 higher on earnings cheer
Published at 20/01/2021 at 17:06 -
Luxury stocks, ASML lift European shares in early trading
Published at 20/01/2021 at 08:32 -
UK stocks edge higher as miners, Burberry shine
Published at 20/01/2021 at 08:18 -
UK Stocks-Factors to watch on Jan 20
Published at 20/01/2021 at 07:52 -
UK Stocks-Factors to watch on Jan 20
Published at 20/01/2021 at 06:26 -
European stocks slip as lockdown worries resurface
Published at 19/01/2021 at 17:28 -
UK blue-chips slip as MGM drops takeover plan for Entain
Published at 19/01/2021 at 17:14 -
FTSE 100 rises as HSBC, Rio Tinto jump
Published at 19/01/2021 at 08:33 -
European shares rise on upbeat earnings reports
Published at 19/01/2021 at 08:18
-
FOREX-Dollar rises as growth worries weigh on euro
Published at 20/01/2021 at 15:34 -
FOREX-Euro sinks amid broader risk rally against dollar
Published at 20/01/2021 at 12:05 -
FX trading volumes jump 10% in December from year earlier - CLS
Published at 20/01/2021 at 10:29 -
FOREX-Dollar sinks for 3rd straight session as risk sentiment rises
Published at 20/01/2021 at 09:07 -
FOREX-Dollar squeezed anew as stimulus hopes brighten mood
Published at 20/01/2021 at 05:47 -
FOREX-Dollar slips as U.S. stimulus hopes lift mood
Published at 20/01/2021 at 00:46 -
FOREX-Dollar eases as risk tolerance rises on U.S. stimulus outlook
Published at 19/01/2021 at 20:13 -
FOREX-Dollar weakens as risk appetite rises on U.S. fiscal stimulus prospects
Published at 19/01/2021 at 17:50 -
FOREX-Dollar slides as investors look to Yellen comments on stimulus
Published at 19/01/2021 at 15:04 -
FOREX-Dollar drops as traders prepare for Yellen to talk up stimulus
Published at 19/01/2021 at 11:24
-
PRECIOUS-Gold gains over 1% as focus turns to Biden administration
Published at 20/01/2021 at 17:11 -
Oil up 1% on stimulus hopes, tightening market ahead of Biden inauguration
Published at 20/01/2021 at 16:43 -
PRECIOUS-Gold rises as dollar dips on Yellen's call for bold stimulus action
Published at 20/01/2021 at 12:53 -
PRECIOUS-Gold gains as dollar weakens on U.S. stimulus outlook
Published at 20/01/2021 at 07:35 -
Oil extends gains on hopes of U.S. stimulus and crude stocks drawdown
Published at 20/01/2021 at 02:17 -
PRECIOUS-Gold rises as U.S. dollar weakens on Yellen's stimulus view
Published at 20/01/2021 at 01:02 -
Oil gains on stimulus optimism ahead of Biden inauguration
Published at 19/01/2021 at 19:56 -
PRECIOUS-Gold firms on weaker dollar as investors gauge Yellen's views
Published at 19/01/2021 at 19:11 -
CORRECTED-UPDATE 3-Oil prices rise as investors look to higher demand seen in second half
Published at 19/01/2021 at 11:48 -
PRECIOUS-Gold gains as dollar weakens ahead of Yellen speech
Published at 19/01/2021 at 10:42
FOREX-Dollar bounces on strong data, index hits technical support
* Graphic: World FX rates in 2020
(Adds data, analyst quotes, details on the British pound, updates prices)
By Karen Brettell
NEW YORK, Nov 23 (Reuters) - The dollar bounced off an almost three-month low against a basket of currencies on Monday as data showed that U.S. business activity expanded at the fastest rate in more than five years in November, and after the index hit strong technical support.
IHS Markit's manufacturing and services sector purchasing managers' indexes both topped even the most optimistic forecasts in a Reuters poll that predicted both would level off, offering a counterweight to data suggesting economic momentum was slackening after the third-quarter's torrid rebound from an historic plunge last spring.
“The Dollar turned broadly higher in N.Y. on Monday, with the better Markit PMI outcomes providing the main driver,” said Ronald Simpson, managing director, global currency analysis at Action Economics.
The dollar index was last up 0.18% at 92.482, after earlier dropping to 92.013, the lowest since Sept. 1. The euro
dipped 0.10% to $1.1844.
The greenback jumped 0.63% against the safe haven Japanese yen to 104.475 yen.
Stronger risk appetite dented the appeal of the U.S. currency early on Monday after AstraZeneca said that its COVID-19 vaccine could be about 90% effective and it would prepare to submit data to authorities around the world that have a framework for conditional or early approval.
A conclusive break on the dollar index below support at around 92 could usher in new weakness, analysts said.
Matthew Maley, chief market strategist at Miller Tabak said that he would wait for confirmation that any break is significant before assuming further weakness, but added that if the index does fall below 92 "in any meaningful way, it’s going to be very bearish for the greenback on a technical basis".
Many analysts see the dollar as likely to underperform next year when global growth is expected to improve as vaccines against the novel coronavirus are rolled out.
“That spells dollar weakness for us given the dollar’s countercyclical characteristics,” said Vassili Serebriakov, an FX strategist at UBS in New York.
The British pound may be among the best performers against the greenback as it benefits from faster international growth and moves past Brexit worries that have weighed on the currency.
“We think sterling will benefit both from the global cyclical recovery as it tends to perform well in growth upswings and it will also benefit from moving closer to a Brexit deal, which we don’t think the market is fully priced for,” said Serebriakov.
Sterling was last 0.29% up at $1.3322. It was boosted by optimism over COVID-19 vaccines and as investors bet Britain and the European Union would clinch a Brexit trade deal.
The dollar index dipped slightly after the Wall Street Journal reported that U.S. President-elect Joe Biden plans to nominate former Federal Reserve Chair Janet Yellen to become the next Treasury Secretary.
========================================================
Currency bid prices at 3:25PM (2025 GMT)
Description RIC Last U.S. Close Pct Change YTD Pct High Bid Low Bid
Previous Change
Session
Dollar index $92.4820 92.3260 +0.18% +0.00% +92.8040 +92.0130
Euro/Dollar $1.1844 $1.1856 -0.10% +5.65% +1.1906 +1.1800
Dollar/Yen 104.4750 103.8500 +0.63% -3.78% +104.6300 +103.7000
Euro/Yen 123.73 123.11 +0.50% +1.46% +123.7700 +123.0700
Dollar/Swiss 0.9122 0.9110 +0.13% -5.74% +0.9147 +0.9077
Sterling/Dollar 1.3322 1.3289 +0.29% +0.48% +1.3396 +1.3265
Dollar/Canadian 1.3074 1.3093 -0.12% +0.66% +1.3112 +1.3046
Aussie/Dollar 0.7290 0.7303 -0.17% +3.90% +0.7337 +0.7266
Euro/Swiss 1.0804 1.0801 +0.03% -0.44% +1.0817 +1.0795
Euro/Sterling 0.8889 0.8929 -0.45% +5.15% +0.8929 +0.8867
NZ 0.6926 0.6928 -0.01% +2.94% +0.6967 +0.6898
Dollar/Dollar
Dollar/Norway 9.0310 9.0100 +0.40% +3.12% +9.0835 +8.9655
Euro/Norway 10.6984 10.6740 +0.23% +8.75% +10.7380 +10.6410
Dollar/Sweden 8.6289 8.6186 +0.07% -7.69% +8.6708 +8.5791
Euro/Sweden 10.2228 10.2152 +0.07% -2.35% +10.2387 +10.2020
(Additional reporting by Elizabeth Howcroft in London; editing by Emelia Sithole-Matarise and Ken Ferris)
((karen.brettell@tr.com))