Forex – Dollar Remains at 3-Month Lows in Quiet Trade

Dollar still broadly lower as traders return to markets

Investing.com – The dollar remained at three-month lows against other major currencies in quiet trade on Tuesday, as investors remained cautious for the first trading day of 2018.

The U.S. dollar weakened in 2017 as the global economy gained momentum fueling expectations for tighter monetary policy in other countries, which would lessen the divergence between the Federal Reserve and other central banks.

Market watchers were looking ahead to Wednesday’s of the Fed’s December meeting for further hints on the future path of monetary policy, as well as the due on Friday.

The , which measures the greenback’s strength against a trade-weighted basket of six major currencies, was down 0.46% at 91.57 by 05:15 a.m. ET (09:15 GMT), the lowest since September 22.

The euro and the pound remained higher, with up 0.49% at 1.2064, the highest level since September 8 and not far from the two-and-a-half year peak of 1.2091 set that day, and with advancing 0.32% to 1.3546.

Data earlier showed that activity in the UK manufacturing sector y in December, but continued to expand at a solid pace.

The yen and the Swiss franc were also stronger, with down 0.37% at 112.26 and with shedding 0.37% to 0.9713.

Elsewhere, the Australian and New Zealand dollars were higher, with up 0.35% at 0.7832 and with adding 0.14% to 0.7116.

Data on Tuesday showed that China’s Caixing manufacturing purchasing managers’ index rose to 51.5 last month from 50.8 in November, beating expectations for a downtick to 50.6.

China is Australia’s biggest export partner and New Zealand’s second biggest export partner.

Meanwhile, edged down 0.10% to 1.2538.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Comments

comments