The US dollar rose broadly on Tuesday

2024-02-20
Summary:

The US dollar surged Tuesday on expectations of prolonged high interest rates, while the Australian dollar fell despite China's LPR cut.

EBC Forex Snapshot


20 Feb 2024


The US dollar rose broadly on Tuesday on mounting expectations of higher-for-longer interest rates in the US. The Australian dollar dropped despite China’s latest decision to lower LPRs.


The RBA stood pat on its first meeting of the year on cooling inflation, weaker-than-expected jobs and consumer spending reports while signalling further tightening is still possible, minutes of the meeting showed.

AUDUSD

The country’s benchmark rate is lower than many other developed nations where inflation are more tamed. Its 425 bps of hikes in the current tightening cycle trail both the US and New Zealand’s 525 bps.

Citibank vs. HSBC Currency Pair Data Comparison

Citi (as of 5 Feb) HSBC (as of 20 Feb)

support resistance support resistance
EUR/USD 1.0724 1.1139 1.0681 1.0885
GBP/USD 1.2487 1.2827 1.2481 1.2738
USD/CHF 0.8333 0.8728 0.8620 0.8954
AUD/USD 0.6500 0.6900 0.6449 0.6618
USD/CAD 1.3379 1.3552 1.3372 1.3595
USD/JPY 146.09 148.80 147.03 152.03

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.


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