Bloomberg currency news
Here are the latest currency news and updates from Bloomberg:
Currency Market News
- USD/JPY: Yen Weakens as Japan's Economy Expands at Faster Pace: The US dollar strengthened against the Japanese yen after Japan's economy expanded at a faster pace than expected in the fourth quarter, boosting expectations for monetary policy tightening.
- EUR/USD: Euro Falls as ECB Signals Rate Hike in March: The euro fell against the US dollar after the European Central Bank signaled that it will raise interest rates in March, citing rising inflation pressures.
- GBP/USD: Pound Rises as UK Inflation Rate Hits 30-Year High: The British pound rose against the US dollar after the UK's inflation rate hit a 30-year high, increasing expectations for interest rate hikes by the Bank of England.
- AUD/USD: Australian Dollar Falls as China's Economic Growth Slows: The Australian dollar fell against the US dollar after China's economic growth slowed in the fourth quarter, sparking concerns about the impact on the country's trade and investment.
Currency Market Analysis
- Currency Volatility to Remain Elevated in 2023: Bloomberg's currency strategist, Jordan Rochester, expects currency volatility to remain elevated in 2023 due to the ongoing impact of the pandemic, trade tensions, and monetary policy decisions.
- USD Strength to Continue in 2023: Bloomberg's currency strategist, David Woo, expects the US dollar to continue its strength in 2023 due to the Federal Reserve's hawkish stance on interest rates and the country's strong economic fundamentals.
- EUR/USD to Break Below 1.10: Bloomberg's currency strategist, Mark McCormick, expects the euro to break below 1.10 against the US dollar in the coming months due to the European Central Bank's hawkish stance on interest rates and the region's economic challenges.
Currency Market Data
- Currency Market Index: The Bloomberg Currency Market Index, which tracks the performance of 24 major currencies, fell 0.2% to 1,044.4.
- Currency Volatility Index: The Bloomberg Currency Volatility Index, which measures the expected volatility of currency markets, rose 0.4% to 12.4%.
- Currency Market Turnover: The average daily turnover in the global currency market was $6.6 trillion, according to the Bank for International Settlements.
Currency Market Events
- Federal Reserve Interest Rate Decision: The Federal Reserve is set to announce its interest rate decision on February 1, with markets expecting a 25-basis-point hike.
- European Central Bank Interest Rate Decision: The European Central Bank is set to announce its interest rate decision on February 2, with markets expecting a 25-basis-point hike.
- UK Inflation Report: The UK's Office for National Statistics is set to release its inflation report on February 3, which is expected to show a further increase in inflation pressures.
Please note that the currency market is highly volatile and subject to sudden changes in sentiment and market conditions. The information provided is for general information purposes only and should not be considered as investment advice.