London — Thursday’s euro, sterling and dollar stabilized as the Chinese yuan fell from a three-and-a-half-year high and set a maximum fall in more than four months.
Investors, in particular, expect some analysts to rewind the stimulus of the pandemic era faster, as the Federal Reserve, the European Central Bank and the Bank of England will be included in a meeting to discuss monetary policy next week. We are enthusiastically watching the forward guidance from the Fed. schedule.
The euro fell 0.25% to $ 1.1313 by 1240 GMT, but is still approaching the previous week’s highs after Reuters reported at a meeting next week that the ECB would discuss policy adjustments.
The US dollar rose 0.2% to 96.145 against a basket of currencies, up from its 16-month high of 96.938 in November.
Britain’s Prime Minister Boris Johnson imposed a new COVID-19 limit in the UK, causing Sterling to fall 0.1% to $ 1.3185 after hitting the new lows of 2021 the day before.
Michael Hewson, Chief Market Analyst at CMC Markets UK, said:
Expectations for easing US monetary stimulus helped the dollar index rise in November before the emergence of Omicron lowered the dollar index.
The Federal Reserve will announce at its meeting next week that it will accelerate the tapering of bond purchase programs.
One of the major winners from this week’s Omicron-related emotional improvement was Norwegian krone, which jumped to a nearly three-week high on Wednesday.
As announced in early November, it was unclear whether the central bank would move to raise interest rates at its December 16 meeting, so that day was 1% of the 8.97 Crown greenback per dollar. It has fallen.
“There may be some setbacks after yesterday’s big move, but NOK may be grateful for next week’s NB meeting,” ING told clients.
Bitcoin fell 2.7% to just below $ 49,277 as it continued to trade in a narrow range after the weekend plunge.
By Joice Alves
follow