Mon, August 15, 2022

New Zealand Dollar and Aussie fell; The U.S. Dollar rallies

New Zealand Dollar and Aussie fell; The U.S. Dollar rallies

The forex trade market fluctuated strongly during the last few weeks due to the several stimulators, mainly because of the coronavirus outbreak and Brexit. The U.S. dollar and yen remained stable, while other currencies fell gradually.

Westpac FX analyst Imre Speizer stated that the coronavirus caused investors to move on to the U.S. dollar. A good economic data in the U.S. has also had a positive impact. These factors left commodity countries, like Australia and New Zealand, more vulnerable, causing their currencies to fall.

The dollar traded at $0.6686 per Australian Dollar and $0.6378 per New Zealand dollar. Meanwhile, the Singapore dollar tumbled down by 3%. The Aussie and New Zealand dollar lowered more than 4% against the yen this year.

Those countries, which depend on the Chinese economy, also suffered significantly. Meanwhile, China’s central bank injected the 1.2 trillion yuan of liquidity in an attempt to stop China’s economy’s collapse. Richard Grace, the chief currency strategist at Commonwealth Bank, noted that its downfall would damage the global economy significantly. As it is, China’s economy accounts for some 17% of world GDP.

What about the Japanese yen?

The Japanese yen rose steadily against the other Asian currencies, last standing at 109.75 yen per dollar. It is still in high demand, along with the U.S. dollar. Investors avoid currencies, which are dependent on China, turning to those who seem like safe-havens during the virus epidemy.

The U.S. dollar increased against the euro trading at $1.0910. Against a euro-heavy basket of currencies, it also rose at 98.832. During the last days, the dollar reached its four-month high. It was mostly due to new data, which showed that the American economy fares much better than analysts estimated. After its release, the dollar’s price skyrocketed.

Meanwhile, the yen strengthened against the dollar, as the other safe-haven currency. The U.S. Treasury and the Japanese government’s bond prices have also steadily risen this year, thanks to investors’ risk-off tactics.


Oil Declines Following Disappointing Chinese Data

Brent crude futures dropped $3.49, or 3.56%, to $94.66 a barrel by

BDOmarkets Review

Broker Review: BDOmarkets General Information & First Impressions BDOmarkets is a brokerage

New Medicine With Higher Prices In The U.S.

Reuters found that some pharmaceutical manufacturers are keeping the secret about the


Leave a Comment

Your email address will not be published.

User Review
  • Support
  • Platform
  • Spreads
  • Trading Instument