Dollar receives its first month of the gain after May

Dollar receives its first month of the gain after May

You can still make your bet for the next Fed’s move. Right now, the chances of Fed to increase the interest rate in September are equal to 34 percent. Still, experts believe that with the stable growth of payrolls in the official report this Friday, chances will become 50 percent.

Today dollar raised against the yen in its first monthly rate since this year’s May. Partly, the situation was provoked by the new hopes of investors to receive new interest rate this fall. Experts believe that American dollar will continue its rise.

Meanwhile, Japanese yen is not so strong due to their local situation with the economy.

The head of Fed Janet Yellen, during the press conference last week has confirmed that the reasons for the interest rates increase are very convincing, and they are waiting for other official data from different sectors of the economy.

According to Stanley Fischer, Vice Chairman, this new data will have a huge impact on the Fed decision.

So, we must wait until the end of the week, and read the official information about payrolls for August.

These statements of Fed representatives raised the dollar, filling minds of investors with new hopes.

Lee Hardman, the strategist at the Tokyo Bank, believes that all these talks could be possible only if the Fed has already made the decision to change the rates and is waiting for the confirmation of their deeds.

According to Lee the main key to the rate hike is in the difference between August reports and September reports.

COMMENTS

WORDPRESS: 0