Euro, Dollar change little as Fed, ECB signal patience

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Euro, Dollar change little as Fed, ECB signal patience

On Wednesday, the 10th of April 2019, both Euro zone and United States currency remained little changed, after Federal Reserve and European Central Bank had reaffirmed their patient stance, citing emerging risks of a sluggish global economy, dwindling demands & lacerating industrial sectors amid a heightening risks of trade tensions.

Among major currencies, four of the six gained against American dollar except Swiss Franc and Japanese Yen, while among the minor currencies, the Norwegian Krona posted the biggest gains of the day after release of a stronger-than-anticipated inflation data, heightening hypes of another rate hike this year.

While ECB’s Draghi confirmed that a patient stance would likely to stand until the end of 2019, Federal Reserve became more downbeat, signaling a possible interest rate cut later this year amid a benign inflation trend.

During the Wednesday’s (April 10th) market closure, Euro wrapped up the day 0.09 percent higher at $1.1272 after falling into its initial support zone just above $1.1240, while the US Dollar Index had rounded off 0.08 percent down against a basket of six major currencies on an average.

Since US and China had agreed to establish a trade deal enforcement office, trade talk sentiments had lifted substantially, pushing both Aussies and Kiwis higher. Among the major currencies, the Australian dollar was the biggest gainer against US dollar posting an upsurge of 0.61 percent to $0.7166, while most of the emerging market currencies such as South African Rands and Mexican Peso remained upbeat following another dovish FOMC minutes.

Meanwhile, among the minor currencies, Norwegian Krona posted the largest gain as beforementioned, winding up the day 0.75 percent higher at 8.4925 crown.