Daily Currency Update

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

US dollar slightly up ahead of Fed meeting

USD - United States Dollar

The US dollar continued to test new lows through trade on Monday but edged slightly higher today against its major counterparts ahead of a two-day Federal Reserve meeting. The Federal Reserve’s Open Market Committee (FOMC) meeting is set to end Wednesday afternoon with a statement from Chairman Jerome Powell.

While Powell is expected to hold interest rates, investors will be paying close attention to the Fed’s expectations for the economy amid rising inflation fears.

Data from the US CB Consumer Confidence report is expected to show that consumer confidence increased in April to 113 from 109.7 in March.

Key Movers

The euro reached its highest level in two months yesterday climbing to 1.2116. Renewed optimism in Europe’s vaccine program and signs of easing Covid-19 infections in the region helped fuel demand for the single currency.

The pound struggled again to extend beyond 1.40 yet remains well supported above 1.37. Attention turns toward next week’s Bank of England policy meeting and rate statement.

The Australian dollar extended Friday’s risk on move into a new week, advancing through trade on Monday as investors again tested a break above 0.78 cents. The AUD bounced between 0.7740 and 0.7780 before climbing through 0.7810 to touch intraday highs at 0.7815 overnight.

Expected Ranges

EUR/USD: 1.205 - 1.209 ▲

GBP/USD: 1.386 -1.392 ▲

AUD/USD: 0.776 - 0.780 ▼

USD/CAD: 1.238 - 1.241 ▼