Thursday, 2 May 2019 07:51 WIB |
CURRENCIES |DOLLAR Indeks DolarDolar AS
The dollar took a breather in Asia on Thursday after recovering from a brief spill overnight when markets were whipsawed by mixed messages on policy from the Federal Reserve.
Liquidity was lacking with both Japan and China on holiday and little in the way of major economic data in the diary. The break was welcome after a volatile session overnight.
The dollar had taken an initial knock from a surprisingly sharp retreat in the ISM index of manufacturing to 52.8, which overshadowed a strong ADP report on hiring.
It fell further when the Fed downgraded its inflation outlook and made a technical cut to rates on excess reserves.
All that changed when Fed Chair Jerome Powell said the factors dragging on inflation might be œtransitory and he saw no case for a rate move in either direction.
The net result was a rebound in a dollar index against a basket of currencies to 97.616, having earlier traded as low as 97.149.
The euro was back at $1.1200, after reaching as high as $1.1265, and the dollar steadied at 111.44 yen from a low of 111.03.
Source : Reuters