The US Dollar (USD) is showing signs of strength in the Asian session today, rebounding from a year-to-date low set just yesterday. The USD Index (DXY) is up by less than 0.10%, hovering around the 101.25 level. This modest uptick in the Greenback is supported by a slight increase in US Treasury bond yields, offering some relief to investors.
However, the bullish momentum is limited due to expectations of a larger Federal Reserve rate cut in September. Recent data from the US Bureau of Labor Statistics revealed a weaker-than-expected labor market, prompting speculations of a more aggressive policy easing by the Fed. The minutes of the July FOMC meeting also indicated strong support for a rate cut next month, with some officials even considering immediate action.
As a result, the markets are now pricing in a 38% chance of a 50-basis points rate cut in September, up from 29% previously. There is also anticipation of a total 100 bps easing by the end of the year, which could limit the upside potential for the USD. Investors are closely watching Fed Chair Jerome Powell’s speech at the Jackson Hole Symposium on Friday for further insights into the central bank’s monetary policy stance.
US Dollar Price Today
The table below shows the percentage change of the US Dollar (USD) against major currencies today. The USD has strengthened the most against the Australian Dollar.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | 0.05% | 0.03% | 0.13% | -0.07% | 0.17% | 0.15% | 0.03% | |
| EUR | -0.05% | -0.03% | 0.05% | -0.14% | 0.11% | 0.07% | -0.02% | |
| GBP | -0.03% | 0.03% | 0.08% | -0.11% | 0.13% | 0.09% | -0.01% | |
| JPY | -0.13% | -0.05% | -0.08% | -0.28% | 0.04% | -0.01% | -0.11% | |
| CAD | 0.07% | 0.14% | 0.11% | 0.28% | 0.25% | 0.20% | 0.10% | |
| AUD | -0.17% | -0.11% | -0.13% | -0.04% | -0.25% | -0.03% | -0.15% | |
| NZD | -0.15% | -0.07% | -0.09% | 0.01% | -0.20% | 0.03% | -0.11% | |
| CHF | -0.03% | 0.02% | 0.00% | 0.11% | -0.10% | 0.15% | 0.11% |
The US Dollar is currently in focus as investors await key economic data releases and Fed Chair Powell’s speech for further guidance on the currency’s direction. Stay tuned for more updates on how these developments could impact your financial decisions.