Dollar Loses Ground Against Major Rivals After Powell's Comments

RTTNews | 910 days ago
Dollar Loses Ground Against Major Rivals After Powell's Comments

(RTTNews) - The U.S. dollar shed ground against its major counterparts on Wednesday, weighed down by some weak economic data, and Fed Chair Jerome Powell's comments that the central bank might scale back the pace of its interest rate hikes as soon as December.

Speaking at an event at the Brookings Institution today, Powell said it makes sense to moderate the pace of rate increases as "we approach the level of restraint that will be sufficient to bring inflation down. The time for moderating the pace of rate increases may come as soon as the December meeting."

However, Powell argued the timing of a slowdown in the pace of rate hikes is less significant than how much further the central bank will need to raise rates and how long it will be necessary to hold policy at a restrictive level.

In economic releases, payroll processor ADP's report showed private sector employment increased by 127,000 jobs in November after surging by an unrevised 239,000 jobs in October. Economists had expected employment to jump by another 200,000 jobs.

A separate report from the National Association of Realtors showed a continued decrease in pending home sales in the month of October.

Meanwhile, revised data released by the Commerce Department showed the U.S. economy grew by more than previously estimated in the third quarter.

The report said real gross domestic product spiked by 2.9% in the third quarter compared to the previously reported 2.6% surge. Economists had expected the pace of GDP growth to be unrevised.

The dollar index dropped to 105.78 before recovering to 106.01, still down as much as 0.76% from the previous close.

Against the Euro, the dollar weakened to 1.0408 from 1.0331.

The dollar is trading at 1.2049 against Pound Sterling, weakening from 1.1951.

Against the Japanese currency, the dollar eased to 138.10 yen from 138.71 yen.

The dollar fell sharply against the Aussie, dropping to 0.6785 from 0.6687.

Against Swiss franc, the dollar shed nearly 0.9%, fetching CHF 0.9452 a unit, as against CHF 0.9536 on Tuesday, and the Loonie firmed against the dollar to 1.3445 from 1.3581.

read more
Yen Falls As U.S. Court Blocks Trump's Tariffs

Yen Falls As U.S. Court Blocks Trump's Tariffs

The Japanese yen weakened against other major currencies in the Asian session on Thursday, after a U.S. federal court blocked U.S. President Donald Trump's attempt to impose sweeping reciprocal tariffs against its global trading partners under emergency powers, saying he exceeded his authority.
RTTNews | 1h 9min ago
European Shares Set To Open On Buoyant Note

European Shares Set To Open On Buoyant Note

European stocks may open on a buoyant note Thursday as chip giant Nvidia reported better-than-expected earnings and revenue, and a U.S. federal court blocked President Donald Trump's attempt to impose sweeping tariffs under emergency powers, dealing a blow to a key part of his economic agenda.
RTTNews | 1h 52min ago
Bank Of Korea Cuts Policy Rate By 25 Bps

Bank Of Korea Cuts Policy Rate By 25 Bps

The Bank of Korea lowered its benchmark rate by a quarter-point to mitigate downside pressure on the economy. The monetary policy board, governed by Rhee Chang Yong, unanimously decided to cut the Base Rate by 25 basis points to 2.50 percent. The bank had previously reduced the benchmark rate by a quarter-point in February.
RTTNews | 2h 37min ago
Yen Falls Against Majors

Yen Falls Against Majors

The Japanese yen weakened against other major currencies in the Asian session on Thursday.
RTTNews | 2h 42min ago
Sensex, Nifty Modestly Higher; IT Stocks Lead Gains

Sensex, Nifty Modestly Higher; IT Stocks Lead Gains

Indian shares opened on a firm note Thursday after technology giant Nvidia buoyed investors with a bullish outlook for the growth in artificial intelligence and the U.S. Court of International Trade blocked President Trump's proposed "Liberation Day" tariffs, saying he had overstepped his authority.
RTTNews | 3h 14min ago
Australian Market Slightly Trims Early Gains In Mid-market

Australian Market Slightly Trims Early Gains In Mid-market

The Australian market is slightly trimming its early gains in mid-market moves on Thursday, reversing the slight losses in the previous session, despite the broadly negative cues from Wall Street overnight. The benchmark S&P/ASX 200 is moving above the 8,400 level, with gains in energy and technology stocks partially offset by a mixed performance in mining and financial stocks.
RTTNews | 4h 11min ago
Asian Markets Mostly Higher

Asian Markets Mostly Higher

Asian stock markets are trading mostly higher on Thursday, despite the broadly negative cues from Wall Street overnight, after a U.S. federal court blocked US President Donald Trump's attempt to impose sweeping reciprocal tariffs against its global trading partners under emergency powers, saying he exceeded his authority. Asian markets closed mostly lower on Wednesday.
RTTNews | 4h 32min ago
Sensex, Nifty Seen Higher As US Court Blocks Trump's Tariffs

Sensex, Nifty Seen Higher As US Court Blocks Trump's Tariffs

Indian shares look set to open higher on Thursday as investors react to encouraging industrial output data, upbeat Nvidia earnings and a U.S. court ruling blocking President Trump's "Liberation Day" tariffs, citing overreach of power.
RTTNews | 5h 7min ago