July 04, 2022 - 12:32 PM 333 views
On Monday morning in Asia, the dollar declined, but there were only minor changes because market concerns about growth didn't go away.
By 11:55 PM ET, the U.S. Dollar Index, which measures the value of the dollar against a basket of other currencies, had fallen 0.03 percent to 105.10. (3:55 AM GMT).
To 135.18, the USD/JPY pair dipped 0.01 percent.
Both the NZD/USD pair and the AUD/USD pair saw minor declines, both falling by 0.10 percent to 0.6802 and 0.17 percent, respectively.
While the GBP/USD pair dipped 0.07 percent to 1.2087, the USD/CNY pair dipped 0.15 percent to 0.6908.
Trading agreement is being developed by China and Hong Kong to enable foreign investors to execute interest-rate derivatives with domestic traders.
There are increasing indications of economic deterioration both here in the US and abroad.
The second quarter is expected to have a negative growth rate of 2.1%, according to the closely regarded GDPNow prediction from the Atlantic Federal Reserve, indicating that the nation was already technically in a recession.
Despite the prospect for a recession brought on by tightening monetary policies, Jerome Powell, the chairman of the U.S. Federal Reserve, reaffirmed last week the Fed's commitment to taming raging inflation. A further increase of 75 basis points from the Fed this month has now been priced in by the market.
Given that markets are currently hyper-focused on the risk of a sharp slowdown in the global economy, the Australian dollar, other commodity currencies, and even the euro and sterling, are likely to depreciate even further into the coming week, Commonwealth Bank of Australia currency strategist Carol Kong told Reuters.
On Tuesday, the Australian central bank meets. Investors also anticipate the minutes from the June Fed meeting, which are expected to sound hawkish given the Fed's decision to raise rates by a significant amount.
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