US Dollar: Dollar falls as yields languish, euro gets extra late-day lift indiatimes.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from indiatimes.com Daily Mail and Mail on Sunday newspapers.
Dollar trades in a range, eyes next moves by major central banks
Reuters
TOKYO |
Updated on
Euro down after Lagarde curbs talk of tapering bond purchases
The dollar was hemmed into a narrow trading range on Friday as traders contemplate the next moves by major central banks ahead of a US Federal Reserve meeting next week.
The euro nursed losses after European Central Bank President Christine Lagarde squashed expectations that policymakers will start to consider a tapering of bond purchases due to an improving economic outlook.
Fed Chairman Jerome Powell is likely to repeat Lagarde s message that talk of tapering is premature, which would put downward pressure on Treasury yields and cap the dollar s gains against most currencies. Powell has to reiterate the continuation of easy monetary policy just like Lagarde, said Masafumi Yamamoto, chief currency strategist at Mizuho Securities.
European countries have stepped up their vaccination rates, but some nations remain in lockdown amid a third wave of Covid-19 infections.
IHS Markit s flash composite PMI for the euro zone, which looks at activity across both manufacturing and services, hit 53.7 in April versus 53.2 in March. A reading above 50 represents an expansion in economic activity.
Chris Williamson, chief business economist at IHS Markit told CNBC that containment measures to fight coronavirus were actually tightened and normally we would expect the pace of economic activity to weaken but it has done the opposite.
He added that companies were optimistic about the future and preparing for better times ahead.
Rupee - April 23, 2021 - Reliance Securities equitybulls.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from equitybulls.com Daily Mail and Mail on Sunday newspapers.