Yen extends slide, euro steady as all eyes on ECB meeting - SABC News - Breaking news, special reports, world, business, sport coverage of all South African current events. Africa's news leader.

  • 📰 SABCNews
  • ⏱ Reading Time:
  • 70 sec. here
  • 3 min. at publisher
  • 📊 Quality Score:
  • News: 31%
  • Publisher: 51%

Nigeria News News

Nigeria Nigeria Latest News,Nigeria Nigeria Headlines

The yen dropped to a 20-year low on the dollar on Thursday, though most major currency pairs traded cautiously ahead of a highly-anticipated meeting by the European Central Bank, which should offer insights into its monetary policy tightening plans.

The ECB is all but certain to flag an end to its long-running asset purchase programme at the end of this month,and promise a rate hike for July, but the size and pace of its tightening are uncertain.

Speculation is growing that red hot euro zone inflation could push the ECB into kicking off its hike campaign with a large 50 basis point rate increase.In the event ECB President Christine Lagarde “leans into a more hawkish interest rate move in the future, that’s going give a boost to euro-dollar,” said Carol Kong, currency strategist at Commonwealth Bank of Australia.

“I don’t think a rate hike today is very likely, as the ECB has talked a lot about sequencing and said it will stop asset purchases before raising interest rates, but given that inflation is at a record high and the economic rationale for a rate hike is there, I would not completely rule it out,” she added.Elsewhere the yen extended its slide, falling to afresh 20-year low of 134.56 yen per dollar in early trade.

It is nearing the 135.20 hit on January 31, 2002, and a break past that would be its lowest since October 1998.The yen has been weighed down by rising interest rates around the world at a time when the Bank of Japan remains wedded to keeping policy highly stimulatory, as has Japan’s shrinking current account surplus.

Sterling was steady at $1.2534, and the risk-friendly Australian dollar was a touch softer at $0.7178, in line with lower share markets.In cryptocurrencies, Bitcoin continues to revolve around the $30,000 level, as it has done so for the past several weeks.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

I'm desperate for any employment. I'm willing to be a slave boy or a servant too. Just for my kids🙏. My children are suffering because I struggle to put food on the table for them😭. Last night they slept hungry and that broke me as a father💔.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 37. in NG

Nigeria Nigeria Latest News, Nigeria Nigeria Headlines