USD Soaring! What happened? - Kakiforex | Forex markets for the smart money. USD Soaring! What happened? USD Soaring! What happened?

April 27, 2021

USD Soaring! What happened?

 The US dollar continued to appreciate in the European session, although the gains recorded were limited due to expectations of an FOMC policy meeting that may remain with the current monetary easing.

Against a basket of major currencies, the dollar index traded higher around the price of 91.00.

The dovish decision of the Central Bank of Japan (BOJ) to maintain current monetary policy, has provided an opportunity for the US dollar to strengthen against the yen, as well as supported by rising US bond yields.

While the euro was slightly lower at $ 1.2066, it was still trading around a one -month high touched on Monday, $ 1.2117.

The pound also depreciated by trading around $ 1.38800 against the rebounding USD.

In the absence of important data published today, most major currencies are handing gains to the greenback dollar to rise.

The Aussie dollar also rebounded from a six -week high against the US dollar, impressed by reports from iron ore producers who said they expect increased supply and lower demand this year.

The release of Australian inflation data for the first quarter of 2021 in the Asian session tomorrow, will be the main focus of the market which is expected to show unchanged readings as in the previous quarter.