September 28, 2021

FOREX-Dollar languit sur les perspectives de la Fed, les perspectives de hausse des taux de la Nouvelle-Zélande soulèvent le kiwi – News 24

    * Fed officials reiterate view for transient inflation spike
    * Euro above key $1.2250 level as region's recovery quickens
    * Yuan pushes to fresh three-year high beyond 6.40 boundary
    * NZ dollar jumps as central bank hints at 2022 rate hike

    By Kevin Buckland
    TOKYO, May 26 (Reuters) - The dollar wallowed near a
five-month trough against major peers on Wednesday as Federal
Reserve insistence that stimulus will continue kept yields low,
while surprisingly hawkish New Zealand central bank comments
pushed the kiwi higher.
    The euro traded just north of the key $1.2250
level -- holding gains from Tuesday when it pushed as high as
$1.2266 for the first time since Jan. 8 -- as Europe's pandemic
recovery gathers pace.
    The dollar index, which gauges the greenback against
six rivals, languished at 89.617 in Asia, after pushing as low
as 89.533 on Tuesday.
    The Chinese yuan strengthened past 6.4 per dollar in onshore
trading for the first time since June 2018, while its
offshore counterpart pushed to a fresh three-year high
at 6.3858.
    New Zealand's currency jumped after the central
bank hinted at a potential interest rate hike by September next
year in its monetary policy statement. The kiwi last traded 1.1%
higher at $0.73072.
    "There are now several central banks that appear to be
closer to a tightening cycle than the Federal Reserve, and
markets are sensing that," said Imre Speizer, Westpac's head of
New Zealand strategy. He identified the currencies of New
Zealand, Canada and Norway as driven by aggressive central bank
expectations. 
    Following the RBNZ's "hawkish surprise," Speizer said he may
revise up his forecast for the kiwi to finish the year at $0.76.
    That contrasts with a host of Fed officials who overnight
echoed the sentiments of Chair Jerome Powell that a spike in
inflation will be transient and ultra-easy policy continues to
be warranted.
    "I have not seen anything yet to persuade me to change my
full support of our accommodative stance," Chicago Fed President
Charles Evans said in a speech on Tuesday.
    "Right now, policy is in a very good place," San Francisco
Fed President Mary Daly told CNBC the same day. "We need to be
patient."
    A potential test of that conviction comes Friday, with new
readings on U.S. core consumer prices and a survey of purchasing
managers.
    The yield on benchmark 10-year Treasury notes
hovered at 1.5740%, not far from the 1.5540% mark reached
overnight for the first time since May 7's payrolls shock.
    The yen, which is also sensitive to declines in
yields, hovered around the middle of its approximately
108.4-109.7 per dollar trading range this month, last changing
hands at 108.795.
    The dollar has declined over the past two months on the
belief that low U.S. rates will drive cash abroad to capture
gains now that other economies are beginning to recover more
quickly from the pandemic.
    "Confidence in the outlook for the recovery in the Eurozone
has been increasing," Rabobank strategist Jane Foley wrote in a
report. "This is underpinning market speculation that the topic
of tapering with respect to the pace of asset purchases will be
on the table at the forthcoming June 10 ECB meeting."
    The onshore yuan strengthened as far as 6.3943 per dollar on
Wednesday, piercing the psychological 6.40 boundary for the
first time since mid-2018.
    A day earlier, it had held that level amid buying by China's
major state-owned banks in a move viewed as an effort to cool
the rally, sources said.
    "Amid conflicting reports from Chinese officials in recent
days about their attitude to the currency, our read here is that
6.40 is not a hard line in the sand, and that in the context of
further downward pressure on the USD more generally, it will be
‘allowed’ to trade lower," National Australia Bank strategist
Ray Attrill wrote in a report, reiterating a forecast for 6.35
yuan per dollar by end-June. 
    
========================================================
    Currency bid prices at 411 GMT
 Description      RIC         Last           U.S. Close  Pct Change     YTD Pct     High Bid    Low Bid
                                              Previous                   Change                 
                                              Session                                           
 Euro/Dollar                  $1.2257        $1.2252     +0.04%         +0.32%      +1.2261     +1.2242
 Dollar/Yen                   108.7920       108.7350    +0.07%         +5.35%      +108.8150   +108.7350
 Euro/Yen         <EURJPY=EB  133.35         133.23      +0.09%         +5.07%      +133.3900   +133.1400
                  S>                                                                            
 Dollar/Swiss                 0.8946         0.8955      -0.10%         +1.12%      +0.8957     +0.8946
 Sterling/Dollar              1.4159         1.4149      +0.08%         +3.65%      +1.4162     +1.4140
 Dollar/Canadian              1.2048         1.2062      -0.10%         -5.38%      +1.2067     +1.2047
 Aussie/Dollar                0.7788         0.7754      +0.46%         +1.27%      +0.7789     +0.7749
 NZ                           0.7305         0.7227      +1.11%         +1.75%      +0.7313     +0.7223
 Dollar/Dollar All spots
Tokyo spots
Europe spots 
Volatilities 
Tokyo Forex market info from BOJ 

    
 (Reporting by Kevin Buckland; Editing by Lincoln Feast and Sam
Holmes)