The dollar was set to end 2023 lower

2023-12-29
Summary:

The dollar is poised to finish 2023 lower, halting two years of gains. The market anticipates the Fed rate easing by March, causing the decline.

EBC Forex Snapshot


29 Dec 2023


The dollar was set to end 2023 lower, reversing two straight years of gains, dragged by market expectations that the Fed could begin easing rates as early as next March.


The yen also underperformed, extending into a third straight year of losses as the BOJ maintained its ultra-loose monetary policy in a year of aggressive interest rate hikes by other central banks.

USDJPY

BOJ Governor Kazuo Ueda said he was in no rush to unwind negative interest rates as the risk of inflation running well above 2% and accelerating was small, NHK reported on Wednesday.

Citibank vs. HSBC Currency Pair Data Comparison

Citi (as of 14 Dec) HSBC (as of 28 Dec)

support resistance support resistance
EUR/USD 1.0724 1.1017 1.0843 1.1243
GBP/USD 1.2326 1.2848 1.2590 1.2905
USD/CHF 0.8667 0.8957 0.8283 0.8697
AUD/USD 0.6445 0.6526 0.6632 0.6959
USD/CAD 1.3381 1.3695 1.3048 1.3492
USD/JPY 139.48 147.50 139.65 145.29

The green numbers in the table indicate an increase in data, the red numbers indicate a decrease in data, and the black numbers indicate that the data remains unchanged.


Disclaimer: This material is for general information purposes only and is not intended as (and should not be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by EBC or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.

The Yen Remained Near the 158 Low on Tuesday

The Yen Remained Near the 158 Low on Tuesday

The dollar rose Tuesday as Philadelphia Fed President Harker predicted one rate cut this year but may adjust based on future data.

2024-06-18
The Euro Hovers Near Lows on Monday

The Euro Hovers Near Lows on Monday

The dollar stayed firm Monday as investors awaited US economic signals. The euro hovered near a one-month low amid Europe's political turmoil.

2024-06-17
The Yen Fell to An Over One-Month Low on Friday

The Yen Fell to An Over One-Month Low on Friday

The yen hit a 1-month low Friday as the BOJ held rates and announced future bond buying cuts, contrary to market expectations for this month.

2024-06-14