Ahl Masr Burn Hospital Concludes First Scientific Forum, Prepares for Expanded Second Edition in 2026    Egypt Tax Authority Standardises VAT Treatment for Exported Services, Issues Guidance    EGX ends week in green on 27 Nov.    Resilience, Innovation, and the Smart Home: Mohamed Ataya on GROHE's Strategic Vision for Egypt    Australia returns 17 rare ancient Egyptian artefacts    Asian stocks rise on Thursday    Oil prices dip on Thursday    Gaza death toll rises as humanitarian crisis deepens, Israeli offensive expands in West Bank    China's WINPEX to establish $15m lighting equipment plant in Ain Sokhna    Egypt expands rollout of Universal Health Insurance    Egypt's Al-Sisi links national progress to strict law enforcement, says society has role in reforming legal application    Cairo affirms commitment to Lebanese sovereignty, urges halt to cross-border violations    China invites Egypt to join African duty-free export scheme    Egypt, Algeria agree to deepen strategic ties, coordinate on Gaza ceasefire, regional crises    Egypt calls for stronger Africa-Europe partnership at Luanda summit    Egypt begins 2nd round of parliamentary elections with 34.6m eligible voters    Egypt warns of erratic Ethiopian dam operations after sharp swings in Blue Nile flows    Egypt scraps parliamentary election results in 19 districts over violations    Egypt extends Ramses II Tokyo Exhibition as it draws 350k visitors to date    Egypt signs host agreement for Barcelona Convention COP24 in December    Al-Sisi urges probe into election events, says vote could be cancelled if necessary    Filmmakers, experts to discuss teen mental health at Cairo festival panel    Cairo International Film Festival to premiere 'Malaga Alley,' honour Khaled El Nabawy    Cairo hosts African Union's 5th Awareness Week on Post-Conflict Reconstruction on 19 Nov.    Egypt golf team reclaims Arab standing with silver; Omar Hisham Talaat congratulates team    Egypt launches National Strategy for Rare Diseases at PHDC'25    Egypt adds trachoma elimination to health success track record: WHO    Grand Egyptian Museum welcomes over 12,000 visitors on seventh day    'Royalty on the Nile': Grand Ball of Monte-Carlo comes to Cairo    Egypt launches Red Sea Open to boost tourism, international profile    Omar Hisham Talaat: Media partnership with 'On Sports' key to promoting Egyptian golf tourism    Sisi expands national support fund to include diplomats who died on duty    Egypt's PM reviews efforts to remove Nile River encroachments    Egypt resolves dispute between top African sports bodies ahead of 2027 African Games    Germany among EU's priciest labour markets – official data    Paris Olympic gold '24 medals hit record value    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    Russia says it's in sync with US, China, Pakistan on Taliban    Shoukry reviews with Guterres Egypt's efforts to achieve SDGs, promote human rights    Sudan says countries must cooperate on vaccines    Johnson & Johnson: Second shot boosts antibodies and protection against COVID-19    Egypt to tax bloggers, YouTubers    Egypt's FM asserts importance of stability in Libya, holding elections as scheduled    We mustn't lose touch: Muller after Bayern win in Bundesliga    Egypt records 36 new deaths from Covid-19, highest since mid June    Egypt sells $3 bln US-dollar dominated eurobonds    Gamal Hanafy's ceramic exhibition at Gezira Arts Centre is a must go    Italian Institute Director Davide Scalmani presents activities of the Cairo Institute for ITALIANA.IT platform    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



Dollar pinned by easing Fed rate hike expectations
Amwal Al Ghad Published in Amwal Al Ghad on 15 - 08 - 2016

The dollar was softer on Monday, pegged back by sluggish U.S. data that tempered expectations of a Federal Reserve interest rate hike this year.
The U.S. currency was 0.2 percent lower at 101.12 yen JPY= after losing 0.6 percent on Friday, when retail sales and producer prices came in weaker than expected. The euro was up 0.1 percent at $1.11675 EUR=, having risen 0.2 percent on Friday.
The dollar index was a touch weaker at 95.653 .DXY after dropping to 95.254 on Friday, its lowest since August 3.
U.S. Treasury yields also slid on Friday, with the 10-year yield US10YT=RR falling 5 basis points to a two-week low. It traded close to that at 1.501 percent on Monday.
"After the disappointing retail sales and what our economists see as downside risks to July U.S. consumer price inflation print on Tuesday, we see very limited scope for dollar strength against the euro and the yen," said Petr Krpata, currency strategist at ING in London.
U.S. consumer inflation is forecast at zero month on month for July, down from 0.2 percent in June, and annual headline inflation is also expected to slow amid lower oil prices. ECONUS. Last week, productivity numbers indicated subdued inflationary pressures, all of which underpinned expectations that the Fed will be in no hurry to raise rates.
Federal funds futures implied traders saw a 43 percent chance the central bank would increase rates at its December policy meeting, down from 47 percent before Friday's data.
"It is difficult for the dollar to rise when long-term U.S. Treasury yields head in the opposite direction, and yields look to remain capped for a while," said Koji Fukaya, president of FPG Securities in Tokyo.
Currency markets showed little reaction to data on Monday showing Japan's economy expanded 0.2 percent year on year in the second quarter, well below expectations for 0.7 percent. ECONJP.
The Australian dollar was 0.3 percent higher at $0.7668 AUD=D4, having risen to a 3-month high of $0.7760 last week thanks in part to the country's relatively higher debt yields.
Source: Reuters

Clic here to read the story from its source.