Daily Currency Update

Get access to our expert daily market analyses and discover how your currency has been tracking with our exchange rate tools.

The U.S. dollar touches new highs ahead of the FOMC release tomorrow.

USD - United States Dollar

The Greenback climbs for a fourth day amid a return of risk appetite ahead of a two-day FOMC meeting and as global efforts are made to address the spread of the Coronavirus. Furthermore, durable good orders came in at 2.4 percent versus 0.3 percent (better than expected), which is also helping the U.S. dollar.

Key Movers

The British Pound fell 0.22, 0.3, and 0.31 percent versus the Aussie dollar, Loonie and U.S dollar, respectively. According to Bloomberg, strategists were attributing the move to negative Brexit headlines and market nervousness around Thursday’s Bank of England meeting. Market participants were responding with selling pressure to headlines from both U.K. & EU officials before the exit day, which is on Jan 31st. This Thursday, BoE Mark Carney’s final decision is very uncertain. Furthermore, Sterling volatility has been increasing over the last few hours as we approach the Thursday BoE decision, when volatility is expected to further increase. The worries about the Pound are more complicated now, with Prime Minister Boris Johnson’s government set to allow Huawei Technologies Co. to build fifth-generation wireless networks, which might complicate relations with the U.S.

Expected Ranges

USD/CAD: 1.3155 - 1.3206 ▼

EUR/USD: 1.1000 - 1.1041 ▼

GBP/USD: 1.2975 - 1.3035 ▼

AUD/USD: 0.6740 - 0.6780 ▼

NZD/USD: 0.6521 - 0.6555 ▼