2023-10-18 20:08:03
New York (awp/afp) – The dollar benefited on Wednesday from a movement of risk aversion, also favorable to the yen and the Swiss franc, while currency traders fear an extension of the war between Israel and the Palestinian Islamist movement Hamas.
Around 7:50 p.m. GMT, the greenback gained 0.41% once morest the single currency, to 1.0533 dollars per euro. The Swiss currency appreciated by 0.55%, to 0.9470 Swiss francs per euro, while the yen gained 0.31%, to 157.88 yen per euro.
The yen was still resisting the symbolic threshold of 150 yen to the dollar, but was getting closer and closer, reaching 149.92 yen on Wednesday.
Conversely, currencies considered more volatile, such as the South African rand, the Mexican peso or the Czech crown, fell sharply.
“An invasion of Gaza by Israel still seems inevitable,” commented Adam Button of ForexLive. “But it’s hard to predict what will happen next.”
After the strike on Tuesday on the grounds of a hospital in downtown Gaza, which left at least 471 dead, and Iran’s call for a boycott of Israel by Muslim-majority countries, the This is not the time to take risks on the markets.
“Market dynamics will not change until Israel invades Gaza,” insists Adam Button.
The “greenback”, one of the nicknames of the American currency, was also driven by a new rise in bond rates.
The yield on 10-year US government bonds reached a new 16-year high on Wednesday, at 4.92%.
“There are geopolitical risks, but also those linked to an economic slowdown” in the United States, recalls Adam Button. “So no one wants to buy anything. There is no longer any refuge” for investors “except the dollar.”
Wednesday price Tuesday price 7:50 p.m. GMT 9:00 p.m. GMT EUR/USD 1.0533 1.0577 EUR/JPY 157.88 158.46 EUR/CHF 0.9470 0.9521 EUR/GBP 0.8677 0.8681 USD/JPY 149 .88 149.81 USD/CHF 0.8991 0.9001 GBP/USD 1.2140 1.2183
afp/rp
1697672373
#slight #movement #risk #aversion #benefits #dollar #October #p.m
