NEW YORK, May 23 (Xinhua) — The U.S. dollar retained the higher hand on Tuesday as nervousness over U.S. debt ceiling talks weighed on buyers’ danger urge for food.
The dollar index, which measures the dollar in opposition to six main friends, elevated 0.28 p.c to 103.4864 in late buying and selling.
The lack of decision relating to the U.S. debt ceiling continues to be the important thing assist of the U.S. dollar. “I need you all to hang with me on the debt limit, we are nowhere near a deal yet,” U.S. House Speaker Kevin McCarthy advised House Republicans on Tuesday. Republican debt ceiling negotiator Garret Graves additionally reportedly mentioned that issues weren’t going properly over the talks.
The U.S. dollar was greater in opposition to a lot of the majors on Tuesday, as buyers remained involved in regards to the U.S. debt ceiling standoff, famous Kenny Fisher, market analyst with on-line foreign currency trading platform and dealer OANDA.
DailyFX Strategist Diego Colman mentioned the U.S. enterprise exercise and the labor market have held up remarkably properly over the previous few months regardless of quite a few headwinds, together with the banking sector turmoil that erupted in March.
“There is reason to believe that the U.S. dollar could retain the upper hand for a little bit longer,” mentioned Colman.
On an analogous word, Sevens Report Research founder Tom Essaye mentioned that “from a technical perspective, there are signs that a potential bottom for the dollar has been formed.”
In late New York buying and selling, the euro fell to 1.0775 {dollars} from 1.0819 {dollars} within the earlier session, and the British pound decreased to 1.2417 {dollars} from 1.2442 U.S. {dollars} within the earlier session.
The U.S. dollar purchased 138.5240 Japanese yen, decrease than 138.5500 Japanese yen of the earlier session. The U.S. dollar elevated to 0.9013 Swiss francs from 0.8970 Swiss francs, and it decreased to 1.3505 Canadian {dollars} from 1.3507 Canadian {dollars}. The U.S. dollar elevated to 10.6239 Swedish Krona from 10.5523 Swedish Krona.