2024-01-16 13:04:18
The exchange rate showed a considerable rise during this Tuesday’s session.
Yesterday he dollar averaged $912.57; and today it quickly climbed from $908 to $921.49 during its opening.
The greenback is gaining strength internationally on a day where Wall Street reopens following yesterday’s holiday, Monday.
Despite still pointing out probabilities in favor of an interest rate cut by the Fed in the United States, the market is beginning to consider a cut that might be “delayed” until the fifth month of the year.
“During the day we do not expect relevant data on the US economy. We will have a conference by Christopher Waller, governor of the Fed, who in November already indicated that interest rates were at their highest. This conference will be key to knowing the next steps in monetary policy,” commented Juan Pablo Ponce, XTB Latam market strategist.
On the other hand, important data (GDP, unemployment rate and industrial production index) will be known from China, which will influence the price of copper.
“The red metal can benefit if data from the Asian economy show an improvement in the country’s internal demand,” said Ponce.
Overall, the exchange rate might be favored if the data is positive in China, also if the reopening of Wall Street closes in green following the holiday.
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