Economic Update
On Tuesday, the US dollar experienced continued depreciation following remarks from Federal Reserve Chair Jerome Powell, who indicated that there is no immediate need to lower interest rates further.
While testifying before the Congressional Conservative and Housing Committee, Powell noted that his outlook on interest rates reflects a generally robust state of the US economy, highlighted by a declining unemployment rate and persistent inflation that exceeds the Federal Reserve’s target of 2%.
The dollar index was reported to have decreased by 0.17%, settling at 108.18 during the latest trading sessions.
This decline comes amidst anticipation surrounding potential changes in customs policies from the Trump administration, which analysts believe could exacerbate inflationary pressures in the United States and hinder global economic growth.
In the latest exchange rates, the Euro rose by 0.22% to reach $1.033. Meanwhile, the Canadian dollar slipped by 0.03%, trading at 1.43 against its US counterpart.
The Japanese yen fell by 0.3%, with the current exchange rate at 152.45 yen per US dollar. Notably, the yen had strengthened to 150.93 yen against the dollar on Friday, marking its strongest position since December 10.
Conversely, the Australian dollar appreciated by 0.1%, reaching $0.6281 against the US dollar.
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