Today on Monday (June 27), the dollar and yen opened at 135.24 and closed at 135.23 yesterday. As of now, the highest has hit 135.27 and the lowest has been 134.49. Temporarily reported 134.81, down 0.31%. The euro and the dollar were temporarily reported at 1.0559, an increase of 0.09%; the dollar and the Canadian dollar were temporarily reported at 1.2902, an increase of 0.06%.
In early Asian trading on June 27, the US dollar index fell slightly and is currently trading around 104.00. The U.S. dollar index slipped on Friday and posted its first weekly loss of the month, closing down 0.61 percent at 104.13 as traders scaled back bets on a possible peak in interest rates and advanced ahead of a possible recession The timing of the rate cut is expected.
Joe Manimbo, senior market analyst at Western Union Business Solutions in Washington, said: “The Fed has said that it will do its best to reduce inflation without causing a major blow to the economy. But if a soft landing turns out to be elusive, then The Fed will likely have to reverse course and start cutting rates. So while the debate on rates remains fluid, fears about inflation for now have given way to hopes for more accommodative policy when things do get worse.”
The yen, which is sensitive to changes in U.S. yields, fell, with the dollar closing up 0.19% against the yen at 135.19 on Friday. Hedge funds are active in yen cross options space, adding significantly to the dollar’s downside exposure to the yen, two European-based traders said.
The euro edged lower against the dollar on Friday before turning higher, rising as much as 0.5% to 1.0571 during the session, before closing up 0.32% at 1.0553. The pair gained 0.5% last week, heading for its first weekly gain this month. Traders’ bets on the ECB’s rate hike by the end of the year fell below 150 basis points for the first time in two weeks on Friday. European Central Bank President Christine Lagarde said on June 20 that the current economic activities in the euro zone