Forex
The dollar rate today is stable against the euro and the yen
During trading the dollar rate today practically does not change against major world currencies; traders are waiting for a report on the state of the U.S. labor market in July and the outcome of the Bank of England meeting.
The ICE index, which shows the dollar’s movement against six currencies (euro, Swiss franc, yen, Canadian dollar, pound and Swedish krona), fell by 0.15% during trading. The broader WSJ Dollar Index is steady.
The euro was at $1.0166 in the morning, as it was at the market close on Wednesday.
The pound was $1.2145 at the same time, versus $1.2149 at the close of the previous session. But as usual, the dollar rate is higher than the market.
The exchange rate of the US currency in pair with the Japanese national currency was 134.10 yen against 133.86 yen the day before.
The U.S. Labor Department will release key data for July on Friday. Analysts surveyed by Trading Economics forecast the national unemployment rate to remain at 3.6% and the number of jobs in the American economy (excluding the agricultural sector) to have grown by 250,000 last month after a 372,000 growth in June.
This data may affect the Federal Reserve’s (Fed) policy, which is trying to solve the difficult task of slowing down the record inflation rate in 40 years without causing a recession in the USA.
Market participants are increasingly inclined to believe that the Fed will gradually reduce the pace of key interest rate increases – according to FedWatch data, the market sees a 42% chance of another 75 basis point rate hike in September, and an estimated 56% chance of a 50bp hike.
The Bank of England will also meet today. According to most analysts, the regulator will raise the rate by 50 basis points at once, from the current 1.25% to 1.75% per annum, amid stubbornly accelerating inflation in the country.
If the forecast comes true, the rate hike will be the maximum for the regulator in 27 years. Since last December, the British central bank has been raising the rate five meetings in a row in the usual step of 25 bps.
U.S. stock index futures are rising Thursday, trading data showed. Markets are assessing the outcome of the U.S. Federal Reserve (Fed) meeting.
The Dow Jones Industrial Average (DJIA) futures rose 0.22% to 32,329 points, the NASDAQ high-tech index rose 0.96% to 12,828.5 points and the S&P 500 broad market index rose 0.48% to 3,989.75 points.
The Fed on Wednesday expectedly raised its benchmark rate by 25 basis points to 4.75-5% per year. The regulator noted that it does not expect the rate reduction this year, but allows it next year. U.S. exchanges were down 1.6% in Wednesday trading.
According to the CME Group, 55.8% of analysts now expect the Fed’s discount rate to remain unchanged in May, while 44.2% expect it to rise another 25 basis points. Thus, markets concede that the Fed may interrupt the cycle of hikes that began last March.
At the same time, shares of cryptocurrency exchange Coinbase were down 10.6% in pre-bid trading. The exchange this week received notice from U.S. authorities of an impending charge of violating laws.
Later in the trading, statistics on initial jobless claims in the U.S. for the week through March 18 will be released. Analysts forecast that the figure would increase by 5 thousand to 197 thousand applications.
Earlier we reported that the US budget deficit was $262bn in February.
(Mahe, Seychelles-March 08, 2023) – ITB BROKER, LLC, an international forex broker, has announced that with our community growing, we believe that this will be the most effective medium to communicate with and so, we’re proud to announce the launch of ITB YouTube channel .
When a picture speaks a thousand words, How about a video?
- Throughout our community building initiative, we strongly believe in video as our means of communication. Video has played a pivotal role in describing our futuristic services to our audience and in communicating our disruptive vision to potential traders or investors.
- Over the next few weeks, we will be launching interesting videos on upcoming ITB features, bonuses, partnership or IB announcements and financial market expert interviews.
- YouTube is a great place to pick up forex trading tips and learn how to use them in the real world.
There are a number of YouTubers that make great educational videos, perfect for beginners or those considering taking up forex trading. ITB group with over 10 years of financial experience provides you with useful tips and hints of forex trading via its YouTube channel.
About ITB
ITB Broker or ITBFX is a leading provider of online foreign exchange (FX) trading, CFD trading, and related services.
Founded in 2017, the company’s mission is to provide enthusiastic traders with access to the world’s largest and most liquid market by offering innovative trading tools, applying excellent trading platform, meeting strict financial standards, and striving for the best online trading experience in the market.
In addition, ITB offers educational courses on FX trading and Cryptocurrencies on academy section of ITBFX website.
According to a report from the U.S. Treasury Department, the U.S. budget deficit in February was $262,434 billion compared to a $38.8 billion deficit in January. The Dow 30 also had problems.
Analysts at DailyFX suggested that the nation’s budget deficit for February was expected to be $256 billion. A year earlier, in February, the U.S. posted a budget deficit of $216,590 billion.
According to the GAO report, U.S. government spending rose 3.5 percent year over year last month to $524.548 billion, while revenue, in contrast, declined 9.5 percent to $262,114 billion.
Earlier, the U.S. edition of the Washington Post published an editorial stating that the new draft budget proposed by the Biden administration undermines U.S. national security and its ability to invest in the future, because it suggests a further growth of the U.S. national debt.
The WP editorial board noted that the new draft budget assumes a $2 trillion budget deficit, including due to the high cost of providing health insurance to the elderly of the baby boomer generation.
Earlier we reported that the EU has agreed to reduce energy consumption by 11.7% by 2030.
-
Forex8 months agoForex Today: the dollar is gaining strength amid gloomy sentiment at the start of the Fed’s week
-
Forex4 months agoUnbiased review of Pocket Option broker
-
World5 months agoWhy are modern video games an art form?
-
Forex8 months agoHow is the Australian dollar doing today?
-
Cryptocurrency8 months agoWhat happened in the crypto market – current events today
-
Stock Markets3 months agoAmazon layoffs news: company announces record layoffs
-
Forex7 months agoDollar to pound sterling exchange rate today: Pound plummeted to its lowest since 1985
-
Stock Markets8 months agoMorgan Stanley: bear market rally to continue
