Forex News

The Indian rupee rose today after the central bank increased the interest rates for the fourth time this year, raising the yield on local assets.

The Polish zloty extended its rally for the eighth consecutive day against the euro as the estimates of the Economy Ministry showed that the economy grew with the increasing pace, igniting the speculation that the central bank may raise the interest rates. The Polish currency dropped against the U.S. dollar slightly.

The Australian dollar fell today for a second day against its U.S. counterpart as the in inflation rose slower than expected, fueling the speculation that the central bank would keep the interest rates unchanged.

The South African rand extended its rally today for the fifth day as the prices for platinum and gold rose and the central bank kept the benchmark rate unchanged.

Following a rapid growth yesterday, the Australian dollar declines against its major counterparts (except euro) today as the market participants expect the interest rates to be on hold for some time.

The Canadian dollar rose against all major currencies after the country’s central bank decided to increase the target overnight rate to 3/4 percentage point on its meeting today.

The U.S. dollar weakened versus the Japanese yen to the lowest level since the beginning of this year on the signs of the slower economic growth; the bad news from the U.S. fueled concerns for the global economic recovery, causing the euro and the Great Britain pound to drop against the U.S. currency.

The Japanese yen rose today on the speculation that the Federal Reserve would keep the interest rates at current record low level as the U.S. economic growth shows signs of the slowdown.

The Canadian dollar weakened today after the economic growth in the U.S., the biggest Canada’s trading partner, showed the signs of the slowdown, possibly reducing demand for the Canadian exports.

The Great Britain pound strengthened today on the speculation that the higher than expected inflation and the retail sales would cause the central bank to raise the interest rates.