[Economics] The dollar is approaching a 5-week high, and gold is falling

[SnO]

The dollar rose near its highest level in 5 weeks against other major currencies on Monday, as investors increased their bets that the Federal Reserve (the US central bank) will continue to tighten monetary policy for a longer period. While gold prices fell amid anticipation of US inflation data.

 

 

The pound sterling fell, while the yen fell amid expectations that tomorrow the Japanese government will appoint an official who supports the current monetary policy to be a new governor of the central bank, and the Australian and New Zealand dollars fell with Asian stocks falling amid fears that higher US interest rates would slow growth.

The dollar index - which measures the performance of the US currency against a basket of major currencies - including the yen, the euro and the pound - rose 0.068% to 103.65 points, and remained close to last Tuesday's level, which reached 103.96 points, its highest level since January 6th.

The US currency rose 0.6% to 132.20 yen.

For other major currencies:

The euro lost 0.09%, recording $1.06685, after earlier touching the 1.0656 level for the first time since January 9th.
The British pound fell 0.1% to $1.20475.
The Australian dollar fell 0.09% to $0.6912.
The New Zealand dollar fell 0.11% to $0.6304.
Gold is falling
On the other hand, gold prices fell today, Monday, affected by the rise of the dollar and investors' anticipation of US inflation data tomorrow, Tuesday, which may affect the plans of the Federal Reserve (US Central Bank) for the future of interest rates.

Gold in spot transactions fell 0.1% to $1863.38 an ounce by 06:53 GMT, while gold futures contracts in the United States increased 0.1% to $1876.90.

Gold is considered a hedge against inflation, but the cost of holding it increases when interest rates are raised to curb inflation.

Silver in the spot market fell 0.3% to $21.93 an ounce, platinum fell 0.1% to $943.76, while palladium increased 0.1% to $1544.14.

 

https://www.aljazeera.net/ebusiness/2023/2/13/الدولار-يقترب-من-أعلى-مستوى-وأسعار