(+357) 22314160


Show news:
  • All news
  • Currencies
  • Stocks
  • Commodities

24.05.2016 18:20

American focus: The US dollar rose significantly against the euro

The US dollar strengthened significantly against the euro, approaching to a maximum of 16 March. Support for the currency continued to recent comments by the Fed regarding the prospects of increasing the Fed's interest rate. Yesterday the head of the Federal Reserve Bank of Philadelphia said Patrick Harper that allows two or three rate hikes before the end of the year provided that the statistical data will point to the strengthening of the US economy. "I can easily imagine two or three rate hikes before the end of the year - he said -. If the new statistical data will not match my vision to strengthen the economy, I am ready to take a break, but in the opposite case, the rise rate in June seems to me to be justified."

President of the Federal Reserve Bank of San - Francisco John Williams also said that predicts two or three rate hikes in 2016. However, he added that a rate hike is still dependent on economic statistics. Today futures on interest rates Fed indicate that the probability of a rate hike in June is 34% versus 4% at the beginning of last week.

The growth of the US currency also contributed to the optimistic data on the US housing market. The Commerce Department reported that in April, sales of new single-family homes rose to a maximum of more than eight years, and prices have reached record highs. According to the data, new home sales jumped 16.6 percent to a seasonally adjusted annual rate reached 619 000 units, the highest level since January 2008. The percentage increase was the largest since January 1992. Sales in March were revised up to 531,000 units from the previously reported 511,000 units. Economists had forecast that sales of new buildings, which accounted for about 10.2 percent of the housing market, reached only 523,000 units last month. The report came after a fairly upbeat data on housing sales in the secondary market and housing construction. He also added factors to the retail sales report and industrial production, suggesting that the economy is gaining momentum after growth almost stalled in the first quarter.

The pound has risen in price by about percent against the dollar, reaching a week high, helped by comments of the Bank of England, Mark Carney, as well as the results of the latest opinion poll on the subject of the referendum. Today, Carney said that the Central Bank will provide stability and order in the markets in anticipation Brekzita, using auctions to provide liquidity. In addition, Carney said that if Britain will remain part of the EU, the next likely step will be the Central Bank interest rate rise

As for the poll, he pointed out that the number of Britons wanting the country to remain in the European Union, sharply higher than the number of opponents. The latest survey published in the Telegraph newspaper on Tuesday showed that the number of followers of "Lost" campaign has a 13 percent advantage over the number of opponents. In favor of the fact that the country remains in the EU, 55% of respondents were in favor, with the support of «Brexit» 42%.

Later this week, investors will be watching the consumer confidence index of the UK, as well as the report on GDP. Given the economic slowdown, the rise of political uncertainty and the decline in the index GfK in the last month, experts predict that the consumer confidence index drops again. Meanwhile, the second estimate of GDP for the 1st quarter, is likely to confirm the early predictions of slowing economic growth. According to expert estimates, GDP grew by 0.4% after rising 0.6% in the 4th quarter of 2015. In annual terms, GDP growth is expected to stabilize at 2.1%.

Market Focus

January 2018
  • 2018
  • 2017
  • 2016
  • 2015
  • 2014
  • 2013
  • 2012
  • 2011
  • 2010
  • 2009
  • 2008
  • 2007
  • 2006
  • 2005
  • 2004
  • 2003
  • 2002


All posted material is a marketing communication solely for informational purposes and reliance on this may lead to loss. Past performance is not a reliable indicator of future results. Please read our full disclaimer.

To maximize our visitors browsing experience TeleTrade uses cookies in our web services. By continuing to browse this site you agree to our use of cookies. If you disagree, you may change your browser settings at any time. Read more

Fb twitter linkedIn youtube
proficient forex broker teletrade
  • © 2011-2018 TeleTrade-DJ International Consulting Ltd

    TeleTrade-DJ International Consulting Ltd is registered as a Cyprus Investment Firm (CIF) under registration number HE272810 and licensed by the Cyprus Securities and Exchange Commission (CySEC) under license number 158/11.

    The company operates in accordance with Markets in Financial Instruments Directive (MiFID).

  • The information on this website is for informational purposes only. All the services and information provided have been obtained from sources deemed to be reliable. TeleTrade-DJ International Consulting Ltd ("TeleTrade") and/or any third-party information providers provide the services and information without warranty of any kind. By using this information and services you agree that under no circumstances shall TeleTrade have any liability to any person or entity for any loss or damage in whole or part caused by reliance on such information and services.

  • TeleTrade cooperates with SafeCharge Limited, which is an electronic money institution authorized and regulated by the Central Bank of Cyprus and is a principal member of MasterCard Europe and Visa Europe. We also cooperate with Moneybookers and Neteller, which offer electronic e-wallet services authorized and regulated by the Financial Conduct Authority.

    Please read our full Terms of Use.

  • To maximize our visitors browsing experience TeleTrade uses cookies in our web services. By continuing to browse this site you agree to our use of cookies. If you disagree, you may change your browser settings at any time. Read more

    TeleTrade-DJ International Consulting Ltd currently does not provide its services to residents or nationals of the USA, and also doesn't provide retail Forex and CFD accounts to residents or nationals of Belgium.

Connect with Us
Share on
social networks
Request a callback
Top Page