27 C
Dubai
Friday, April 4, 2025
spot_img

Dollar falls around the world after oil prices rise

[ad_1]

Globally, the dollar fell sharply against major currencies as a surge in oil production cuts hinted at inflationary pressures and investors focused on different central bank policies.
This came after the Organization of the Petroleum Exporting Countries (OPEC) and its partner OPEC+ announced on Sunday that they were raising their production targets for oil prices by around 8% during the first holiday in Asian trade.

Against this backdrop, the dollar index , which measures the performance of currencies against a basket of six currencies including the euro, fell 0.3% to 101.89.

For their part, analysts had expected OPEC+, which met on Sunday, to cut output by 2 million barrels per day, which has been in place until the end of 2023, but instead announced a further cut of around 1.16 million barrels per day.

As a result, the North American currencies, which soared due to unexpected production cuts, fluctuated sharply during the day, and the focus returned to central bank policies.

Data on Friday showed a rise in core prices in the euro zone, which analysts said should justify the case for further rate hikes by the European Central Bank, while forecasts for core U.S. inflation came in slightly weaker than expected. 4.6%

Notably, experts will be working in the US with the labor report due on Friday, even though many markets will be closed for the Easter holiday.

Traders are pricing in a chance that the ECB will continue to tighten monetary policy by about 60 basis points between now and the end of the year. But the market expects a tightening of about 15 basis points, and a tightening of 40 basis points between now and December.

[ad_2]

Source link

Related Articles

ADES Strengthens Global Presence: Saudi Drilling Giant Expands into Brazil with $85.1M Landmark Deal

ADES Holding Co., the Saudi-based drilling giant, has made a bold move into the Brazilian market with an $85.1 million charter agreement, signaling a...

Marco Rubio Strengthens Ties: U.S. Secretary of State to Tackle Immigration and Security in Caribbean Tour

Marco Rubio is set to embark on a diplomatic tour of the Caribbean, with scheduled visits to Jamaica, Guyana, and Suriname on March 26-27. The...

Alibaba Revives Hiring as Chairman Joe Tsai Warns of AI Bubble Risks in U.S. Market..

Alibaba Group has announced its decision to resume hiring, signaling renewed confidence in its growth trajectory following recent discussions with Chinese leadership. The announcement by...

Saudi Arabia Leads the Charge for Global Water Cooperation and Sustainability

Saudi Arabia is taking a proactive stance in advocating for global cooperation on water issues, highlighting the urgent need for sustainable water management practices...

Saudi Arabia Empowers Global Mining Giants: Landmark Exploration Licenses Drive Vision 2030 Prosperity

Saudi Arabia has awarded mining exploration licenses to both local and international firms, marking a significant step in its Vision 2030 strategy to diversify...

Latest Articles