mostpopularpokergames| Bonda Asia: US dollar rebounds, oil prices fall, US dollar and Canadian dollar break through 1.3700 mark
On May 8th, former US Treasury Secretary Steven Mnuchin believed that at present, with its status as the world's reserve currency, the strong performance of the US dollar will help the United States alleviate the huge fiscal deficit.MostpopularpokergamesThe financing pressure. However, this dependence is not a long-term solution, and how to reduce the heavy debt burden in the future will test the wisdom and determination of the US government. In an interview with the media a few days ago, he pointed out that at present, the US dollar still maintains a relatively high currency value, which is beneficial for the US government to issue treasury bonds. Over the past year, the dollar has strengthened against major currencies such as the yen, up about 13 per cent. With the advantage of being the world's largest and most active bond market and investor confidence in the long-term value of the dollar, the US government has been able to continue to issue Treasuries to meet fiscal needs. However, Mnuchin believes that this is a "double-edged sword". Although the strength of the dollar has abated,MostpopularpokergamesIt has not only aggravated the current debt pressure, but also aggravated the lack of competitiveness of American products in the international market. Therefore, while it is foreseeable that the US dollar will continue to play the role of reserve currency for some time to come, if we rely too much on its strong position, we may pay a heavy price in the future.
Separately, Masato Kanda, the government's chief currency diplomat, said on Tuesday that Japan may have to act on any disorderly, speculative foreign exchange fluctuations, strengthening Tokyo's willingness to intervene again to support the fragile yen. Kazuo Ueda, governor of the Bank of Japan, said currency movements were one of the topics he discussed during a meeting with Japanese Prime Minister Fumio Kishida on Tuesday, indicating that the authorities are wary of the recent fall in the yen. Kanda, Japan's vice minister for international affairs, who also oversees the country's monetary policy, said the government did not need to intervene if stable exchange rate fluctuations reflected fundamentals. "but when speculation leads to excessive volatility or disorderly volatility, the market does not function and the government may have to take appropriate action," he said. We will continue to adopt the same sound approach as in the past. " Kazuo Ueda also said that the central bank will guide monetary policy and pay close attention to how the depreciation of the yen affects inflation, suggesting that the trend of the yen may affect the speed and timing of future interest rate increases.
The data to watch today are the monthly rate of industrial output after the quarterly adjustment in Germany in March and the final monthly rate of wholesale inventory in the United States in March.
Gold / US dollar
Gold swayed and consolidated yesterday, closing slightly lower on the daily line, and is now trading around 2319. In addition to the technical selling around 2330 that has weighed on gold to a certain extent, the rise of the dollar index supported by positive factors such as hawkish comments by Fed officials is also an important factor in putting pressure on gold to weaken. However, the Fed still has expectations of interest rate cuts and geopolitical tensions that limit gold's scope for decline this year. Today, we will focus on the pressure situation near 2330, with the lower support around 2310.
AUD / USD
The Australian dollar shook down yesterday, losing 0.Mostpopularpokergames. 6600 mark, now traded at 0.MostpopularpokergamesAround .6580. In addition to profit-taking to a certain degree of pressure on the exchange rate, the rise of the dollar index under the support of multiple positive factors is also an important factor to pressure the exchange rate to weaken. In addition, the RBA held interest rates stable as scheduled but hinted that it would not raise interest rates, which disappointed the market. It was also an important factor to put pressure on the Australian dollar to fall back. Today, we will focus on the pressure situation near 0.6650, with the lower support around 0.6500.
Us dollar / Canadian dollar
The US dollar / Canadian dollar fluctuated upwards yesterday, breaking through the 1.3700 mark and is now trading around 1.3750. In addition to the strong support for the exchange rate by the rise of the dollar index under the support of multiple positive factors, the decline in crude oil prices due to the reduction of demand growth expectations by the EIA is also an important factor to support the exchange rate higher. Today, we will focus on the pressure situation near 1.3850, with the lower support around 1.3650.