FOREX-Dollar climbs as Evergrande uncertainty creeps in

0


[ad_1]

Band Chuck Mikolajczak

NEW YORK, September 24 (Reuters)The dollar rose on Friday and was set for its third straight week of gains against a basket of major currencies, as uncertainty surrounding embattled Chinese real estate developer Evergrande helped the greenback rebound from a steep decline in the previous session. .

Evergrande Group in China 3333.HK owes $ 305 billion and is strapped for cash, missing a Thursday deadline to pay $ 83.5 million and leaving investors to wonder if he will make the payment before a 30-day grace period expires. days. A business collapse could create systemic risks for China’s financial system.

The safe-haven dollar on Thursday saw its largest single-day percentage decline in about a month after Beijing injected new liquidity into the financial system and Evergrande announced it would pay interest on an onshore bond, further bolstering the feeling of risk.

The offshore Chinese yuan CNH = weakened against the greenback at 6.4641 per dollar.

The drop came a day after the greenback was lifted by the US Federal Reserve’s announcement on Wednesday that it will likely start cutting monthly bond purchases as early as November and reported interest rate hikes could track sooner than expected as central bank pulls away. of its pandemic crisis policies.

“We’re in one of those situations, and it doesn’t always happen, where the dollar is the beneficiary of multiple ideas,” said Joseph Trevisani, senior analyst at FXStreet.com.

“The US economy looks better than most of its competitors, there is a lingering fear about Evergrande and what else is in the rather opaque Chinese economy and political system, and the Fed finally seems ready. “

The dollar index = USD increased by 0.237%, with the euro EUR = down 0.2% to $ 1.1713.

Kansas City Fed President Esther George said the U.S. labor market has already passed the central bank’s test to reduce its monthly bond purchases, and the discussion should now turn to how its holding massive bond yields could complicate the decision to raise rates.

Cleveland Fed Chairman Loretta Mester echoed the sentiment of a slowdown this year and said the central bank could start raising rates by the end of next year if the labor market continued to improve as expected.

In remarks prepared during a listening session with a wide range of economic players, Fed Chairman Jerome Powell did not detail his own outlook for economic or monetary policy, which he described at the close of the two-day Fed meeting on Wednesday.

The pound weakened a day after hawkish comments from the Bank of England on Thursday pushed the pound to its biggest one-day percentage gain since August 23.

The Japanese yen weakened 0.43% against the greenback to 110.77 per dollar, while the British pound GBP = Last traded at $ 1.3666, down 0.36% on the day.

Cryptocurrencies collapsed after China’s most powerful regulators stepped up the country’s crackdown on digital assets, with a blanket ban on all crypto transactions and crypto mining.

Bitcoin BTC = BTSP, the largest cryptocurrency in the world, last fell 5.89% to $ 42,256.47.

Smaller coins, which generally move in tandem with bitcoin, have also fallen. Ether ETH = BTSPlatest drop 8.08% to $ 2,899.10 while XRP XRP = BTSPThe latest drop 7.2889413% to $ 0.93.

=================================================== ======

Price of currency offers at 3:21 p.m. (1921 GMT)

The description

RIC

Last

US Close previous session

PCT change

Percentage change for the current year

High offer

Low offer

Dollar index

= USD

93.3120

93.1040

+ 0.24%

3.702%

+93.4210

+93.0430

Euro dollar

EUR = EBS

$ 1.1715

$ 1.1738

-0.19%

-4.12%

+1 $ 1.1747

+1.1701 $

Dollar / Yen

JPY = EBS

110.7750

110.3300

+ 0.41%

+ 7.22%

+110.7900

+110.2000

Euro / yen

EURJPY =

129.78

129.49

+ 0.22%

+ 2.25%

+129.8000

+129.3900

Dollar / Switzerland

CHF = EBS

0.9252

0.9247

+ 0.06%

+ 4.58%

+0.9260

+0.9225

Pound sterling / dollar

GBP = D3

$ 1.3666

$ 1.3723

-0.42%

+ 0.02%

+1.3736 $

+1.3659 $

Canadian dollar

CAD = D3

1.2661

1.2658

+ 0.06%

-0.54%

+1.2730

+1.2644

Australia / Dollar

AUD = D3

$ 0.7253

$ 0.7297

-0.60%

-5.71%

+ $ 0.7316

+ $ 0.7237

Euro / Switzerland

EURCHF =

1.0839

1.0850

-0.10%

+ 0.30%

+1.0864

+1.0822

Euro / Pound

EURGBP =

0.8572

0.8553

+ 0.22%

-4.08%

+0.8576

+0.8550

New Zealand dollar / Dollar

NZD = D3

$ 0.7005

$ 0.7070

-0.86%

-2.40%

+ $ 0.7080

+ $ 0.6997

Dollar / Norway

NOK = D3

8.5925

8.5835

+ 0.16%

+ 0.12%

+8.6280

+8.5790

Euro / Norway

EURNOK =

10.0674

10.0694

-0.02%

-3.82%

+10.1029

+10.0610

Dollar / Sweden

SEK =

8.6591

8.6171

+ 0.16%

+ 5.65%

+8.6684

+8.6218

Euro / Sweden

EURSEK =

10.1444

10.1277

+ 0.16%

+ 0.67%

+10.1507

+10.1218

Global exchange rates https://tmsnrt.rs/2RBWI5E

(Reporting by Chuck Mikolajczak; Editing by Dan Grebler and Sonya Hepinstall)

(([email protected]; @ChuckMik;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

[ad_2]

Share.

About Author

Leave A Reply