NVDA Q3 Earnings Alert: Why our AI stock picker is still holding Nvidia stockRead More

Forex - Dollar pushes higher, political woes weigh on euro

Published 02/08/2017, 03:43 AM
© Reuters.  Dollar pushes higher but upside limited, political woes hit euro
EUR/USD
-
GBP/USD
-
USD/JPY
-
EUR/JPY
-
DX
-

Investing.com - The dollar pushed higher against a basket of the other major currencies on Wednesday, while the euro remained under pressure from political woes in Europe.

The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up 0.17% at 100.55.

The greenback's gains were held in check amid concerns over U.S. President Donald Trump's protectionist economic stance and recent hints from the new administration that it would prefer a weaker dollar.

The euro weakened broadly, with EUR/USD down 0.25% to 1.0651, the lowest level since January 30.

EUR/JPY was down 0.43% to119.53, the weakest level since December 5.

The single currency remained under pressure amid fears over the possibility of a Brexit or Trump-style shock result in France’s upcoming presidential election.

Worries over elections in the Netherlands, Germany and possibly Italy, as well as the escalating row over Greece's bailout added to concerns over political risk in the euro area.

Dovish remarks by European Central Bank President Mario Draghi, who on Monday downplayed calls for the bank to scale back its stimulus program, also kept the euro on the defensive.

The dollar dipped against the yen, with USD/JPY edging down 0.12% to 112.26, but held above Tuesday’s lows of 111.58, the weakest since November 29.

Japanese Prime Minister Shinzo Abe will visit Trump in the U.S. later this week, and trade and currency issues are expected to be in the spotlight.

Trump has accused Tokyo of using monetary policy to devalue its currency to boost exports.

Meanwhile, sterling was little changed against the dollar, with GBP/USD at 1.2507.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.