USD Decline, GBP Stability And Powell’s Speech

Published 11/14/2018, 05:13 AM
Updated 07/09/2023, 06:31 AM
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The US dollar fell in Wednesday's trading but is still near a 16-month high supported by the possibility of a rate hike in December and ahead of inflation data due later today.

While the pound fell below 1.30 ahead of the British prime minister's main meeting to discuss the draft agreement on Britain's exit from the EU after more than a year of talks.

British Exit Agreement

In the same context, a member of parliament from Northern Ireland's Democratic Unionist Party, Jeffrey Donaldson, said on Wednesday that the draft British exit agreement agreed upon yesterday could lead to the disintegration of the United Kingdom.

The UK and the EU managed a draft deal on London's departure from the bloc. The deal includes a customs arrangement for all of Britain, while Northern Ireland will remain under certain rules of the EU single market. Prime Minister Teresa Mae will hold a cabinet meeting scheduled for 3:00 pm CET today to secure support for her new deal. The BBC reported that the ministers would offer them support for the text of the agreement or to resign from Cuba

Trump's Call To Respect Federal Policy And Its Interpretation

Earlier in the day, Democratic Rep. Chris Koonz and Republican Jeff Flack, both members of the US Senate, sent a letter to President Donald Trump calling for respect for the independence of the Federal Reserve and for "no pressure" on officials because of prices Benefit.

The message warned that "undermining the credibility of the Federal Reserve" would endanger the US economy, stressing that "the effectiveness of the Federal Reserve depends on sufficient separation from politics." Because of its independence, the agency officials are not under the authority of the president, the letter claims. "A president has never been removed by the Federal Reserve for 105 years."

Trump is known for his criticism of the Federal Reserve's monetary policy and rising interest rates. He described the central bank as "the biggest threat" because of higher interest rates.

  • The Dollar index fell 0.24% to 97.073, at 09:10 am GMT.
  • The greenback was steady against the euro at $ 1.1283
  • While the dollar fell against the pound sterling by 0.15% to 1.2997 dollars,
  • The dollar steadied against the yen at 113.9 yen.
  • EUR/GBP rose at 0.8702, keeping above its 5-month low of 0.8655

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