Dollar Falls as US Economy Slows

Invest at least $250 in D2T to gain lifetime access to our VIP Signals

Get early access to Dash 2 Trade’s Presale. Buy the D2T token now

Existing community of 70,000+ traders

Unlocks access to the leading crypto trading analysis, signals and trading tools

As featured in CryptoNews.com, FXEmpire.com, FXStreet.com and more

World class development team backed by Quant developers and VC investors

BUY D2T NOW

WHITEPAPER

D2T TELEGRAM

The dollar fell against the majority of currencies on Friday in turbulent, thin trading as data showed that the US economy is slowing down a touch, supporting forecasts of more gradual Federal Reserve interest rate increases and boosting investors’ risk appetite, according to Reuters.

After increasing by 0.4% in October, the personal consumption expenditures (PCE) price index increased by 0.1% last month. The PCE index grew 5.5% in the twelve months that ended in November after increasing 6.1% in October.

After expanding by 0.3% in October, the PCE index increased by 0.2% when the volatile food and energy components were excluded. After rising 5.0% in October, the so-called core PCE price index increased 4.7% year over year in November. For purposes of monetary policy, the Fed monitors the PCE price indices.

Wall Street Rallies Thanks to Dollar Weakness

The day finished with higher Wall Street indices, and against the dollar, risk-sensitive commodity currencies, including the Australian, New Zealand, and Canadian dollars, also rose. Additionally, investors liquidated safe-haven Treasury securities, which raised yields.

Commenting on the market outlook, Amo Sahota, executive director at FX consulting firm Klarity FX, said: “Stocks are feeling a little more comfortable today. There seems to be no panic.” He added:

“The inflation data is moving in the right direction, although not fast enough and the growth in the US economy has not been hindered significantly. It’s growing still at a gradual pace, and there’s no choking of the economy just yet.”

After several significant rises, the Fed is anticipated to raise interest rates by just 25 basis points at its next policy meeting in January.

You can purchase Lucky Block here. Buy LBLOCK