The #IronFX Midday Commentary: The dollar was virtually unchanged against most of the other #G10 #currencies during the #European morning Wednesday, ahead of the #FOMC decision. The greenback was slightly higher against #GBP and slightly lower against #NZD. Today morning, the #BoE released the minutes of its latest policy meeting. Policy makers said that a rate hike this year may be more likely than investors anticipate. The Monetary Policy Committee said that the #economy could maintain its pace of growth, and slack would be absorbed more quickly than had previously been expected. “In that context, the relatively low probability attached to a bank rate increase this year implied by some financial market prices was somewhat surprising”, the Bank said. GBP/USD rallied at the release, but after finding resistance at the 1.7000 zone, the pair gave back its gains and declined even more. The South African Rand was the main gainer among the #EM #currencies we track after South Africa’s current account deficit unexpectedly narrowed in the first quarter while the nation’s inflation rate surged to the highest in almost 5 years. The inflation data are likely to continue to highlight the SARB’s dilemma of managing inflationary pressure amid a weakening economy.
Posted on: Wed, 18 Jun 2014 10:37:32 +0000
Trending Topics
Recently Viewed Topics
© 2015