May 7, 2018 / 1:19 AM / 19 days ago

Dollar hits strongest level of 2018, euro slips

NEW YORK (Reuters) - The dollar hit its highest level against a basket of currencies so far in 2018 as investors increased bets that rising interest rates in the United States would boost the greenback, while traders unwound their bearish positions on the currency.

FILE PHOTO: A U.S. Dollar note is seen in this June 22, 2017 illustration photo. REUTERS/Thomas White/Illustration/File Photo

The index that tracks the dollar against a basket of currencies .DXY climbed to 92.974, its highest since December. It was last up 0.2 percent at 92.792.

Speculators trimmed their bets on a falling dollar to the lowest in seven weeks last week, based on data from the Commodity Futures Trading Commission released on Friday.

Friday’s somewhat disappointing U.S. payrolls report, which showed hiring and wage growth fell short of expectations, did not alter traders’ outlook for further rate increases from the Federal Reserve.

“Nevertheless, the data was still expansionary, showing tepid but positive growth,” Boris Schlossberg, managing director of FX strategy at BK Asset Management in New York, said of the April jobs data.

“In contrast, today news from the eurozone only added to the sense of dread in the region as consumer spending slowed materially,” he added.

Traders have scaled back expectations on the timing of when the European Central Bank may raise interest rates following a spate of disappointing regional economic readings.

The euro broke below $1.19 for the first time this year in the aftermath of weaker-than-expected data on German industrial orders and euro zone investor sentiment.

The euro EUR= shed 0.33 percent at $1.1918 EUR= after touching $1.1896, the lowest in more than four months.

The British pound GBP=D3 traded up 0.25 percent at $1.3560, bouncing off a four-month low of $1.3487 set last week. Sterling has slumped in the past fortnight as investors reversed expectations of a rate hike at the Bank of England's upcoming meeting on Thursday amid soft domestic data.

U.K. financial markets were closed for a bank holiday.

The Reserve Bank of New Zealand will also meet on Thursday and is expected to hold its key interest rate at a record low of 1.75 percent.

The Kiwi NZD=D3 was down 0.2 percent at $0.7008, holding above its year-to-date low of $0.6985 set last week, Reuters data showed.

========================================================

Currency bid prices at 10:18AM (1418 GMT)

Description RIC Last U.S. Close Pct Change YTD Pct High Bid Low Bid

Previous Change

Session

Euro/Dollar EUR= $1.1922 $1.1958 -0.30% -0.62% +1.1978 +1.1898

Dollar/Yen JPY= 109.2700 109.1100 +0.15% -3.02% +109.3900 +108.7600

Euro/Yen EURJPY= 130.28 130.49 -0.16% -3.62% +130.6000 +130.1300

Dollar/Swiss CHF= 1.0032 0.9997 +0.35% +2.97% +1.0056 +0.9985

Sterling/Dollar GBP= 1.3557 1.3530 +0.20% +0.33% +1.3564 +1.3516

Dollar/Canadian CAD= 1.2869 1.2844 +0.19% +2.32% +1.2890 +1.2840

Australian/Doll AUD= 0.7506 0.7540 -0.45% -3.78% +0.7544 +0.7494

ar

Euro/Swiss EURCHF= 1.1961 1.1957 +0.03% +2.33% +1.1979 +1.1948

Euro/Sterling EURGBP= 0.8791 0.8836 -0.51% -1.04% +0.8841 +0.8791

NZ Dollar/Dolar NZD= 0.7011 0.7018 -0.10% -1.06% +0.7041 +0.6996

Dollar/Norway NOK= 8.0530 8.0537 -0.01% -1.88% +8.0875 +8.0312

Euro/Norway EURNOK= 9.6009 9.6310 -0.31% -2.52% +9.6480 +9.6007

Dollar/Sweden SEK= 8.8075 8.7984 -0.32% +7.39% +8.8616 +8.7914

Euro/Sweden EURSEK= 10.5010 10.5352 -0.32% +6.73% +10.5675 +10.5000

Additional reporting by Tommy Wilkes in London and Hideyuki Sano in TOKYO; Editing by Hugh Lawson and Dan Grebler

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below