Category: Currencies

Canadian Dollar Weakening Despite Strong Crude Oil Prices: USD/CAD Price Forecast

Fundamental Background of the Canadian Dollar The Canadian dollar’s performance is closely tied to the ongoing negotiations regarding the US debt ceiling, which has resulted in increased support for the US dollar (USD). Additionally, the recent rally in crude oil prices has somewhat limited the upside potential for USD/CAD bulls before the start of the […]

Dollar Retreats from Five-Week Highs as Investors Secure Profits

Dollar Retreats in European Trade: Breaking Five-Week High Streak In European trade, the dollar experienced a decline, breaking its three-session streak of reaching five-week highs, as investors engaged in active profit-taking. The focus now shifts to crucial remarks from Federal Reserve officials, particularly Fed Chair Jerome Powell, and upcoming US data that will provide insights […]

U.S. Dollar Retreats Despite Rising Treasury Yields, Prompting Gold Rally

The U.S. dollar, represented by the DXY index, experienced a decline on Monday after a strong rally the previous week. This came despite the rise in U.S. Treasury yields across various time frames. By early afternoon in New York, the dollar gauge was down 0.23% at 102.46, stepping back from its five-week high reached overnight. […]

Euro Continues to Rise on Prospects of European Interest Rate Hikes

The euro continued to climb against major currencies in European trade, indicating a positive outlook for further rate hikes by the European Central Bank (ECB), according to Economies.com. This marks the second consecutive session that the euro has risen against the dollar. Meanwhile, the dollar extended losses following the Federal Reserve’s hint that it may […]

European Central Bank’s Lending Survey Shows Signs of Concern in Credit Market: DAX Analysis

Impact of European Central Bank’s Lending Survey on Credit Market and DAX Analysis The European Central Bank’s (ECB) interest rate decision last week was preceded by the release of updated credit data, revealing a reduction in general credit standards and, more concerningly, a significant drop in the demand for credit, according to a DailyFX.com analysis. […]

Euro Falls from Two-Week High Amid Profit-Taking

The euro retreated from its two-week high against the US dollar, experiencing its first loss in four days due to profit-taking, according to a recent article on Economies.com. The euro had previously climbed above $1.1, with bullish comments from ECB officials further bolstering its prospects for a rate hike of 0.5% this week, pushing it […]

What is fiat currency?

Government produces currency known as “fiat money” and it is not backed by a tangible good like gold or silver, but rather by the government that created it. Instead of being backed by the value of a commodity, fiat money derives its value from the interplay between supply and demand as well as the stability […]