The Dollar is Giving Back Some of Its Gains as Focus Shifts to The US Fed Meeting

The US dollar, under pressure on Tuesday, December 1, gave up some of the gains it had made by the end of the month, as investors expect a further monetary easing from the US Federal Reserve and rallying recovery elsewhere.

The Australian and New Zealand dollars, which are highly risk-sensitive, rose 0.3% and 0.5%, respectively. The euro rose 0.3%, but all three currencies remained below the level recorded before the dollar’s ​​rise on Monday.

The British pound rose to the upside as traders clung to hopes of reaching a trade agreement to Brexit before the end of the year, while the yen fell to its lowest level in the week as stocks rose, driven by broad general optimism.

The US Federal Council meets to set its policy on December 15 and 16, but its President Jerome Powell will give a testimony today, Tuesday, and tomorrow, before Congress, and his statements will be closely followed up in the hope of anticipating the next moves.

Against a basket of currencies, the US dollar eased slightly to 91.825, after struggling to clear 92,000 on Monday.

In Asia, the Chinese yuan rose again, to hold on to its gains in internal trading and end losses in foreign trade that continued for three sessions, after the factory activity growth figures, which reached their highest rates in ten years, confirmed China’s remarkable recovery.

The yuan in the last session on the domestic market was 6.5751 per dollar.

Bitcoin fell by about 2% to $ 19,354, which is slightly below the record high it reached yesterday at $ 19,864.