• Asian session review: the dollar consolidated against the major currencies

Market news

27 September 2021

Asian session review: the dollar consolidated against the major currencies

TimeCountryEventPeriodPrevious valueForecastActual
05:00JapanLeading Economic Index July104.2 104.1
05:00JapanCoincident IndexJuly94.6 94.4


During today's Asian trading, the dollar was almost unchanged against the euro, pound and yen, but fell against the Australian dollar.

The ICE index, which tracks the dynamics of the dollar against six currencies (euro, swiss franc, yen, canadian dollar, pound sterling and swedish krona), fell by 0.04%. The dollar index is near the lowest value for the week, as traders continue to evaluate the statement of the US Federal Reserve System following the results of the September meeting.

Federal Reserve Chairman Jerome Powell said after the Fed meeting that the regulator could begin reducing the asset repurchase program as early as November and finish this process by mid-2022.

The head of the Federal Reserve Bank of Cleveland, Loretta Mester, made it clear on Friday that she shares this position. "In my opinion, the US economy meets the necessary conditions, and I support reducing the volume of asset repurchases since November, as well as completing this program in the first half of next year," Mester said. In addition, she expects that by the end of next year, the economy will have created the "necessary conditions" for a rate increase.

Meanwhile, concerns about the consequences of the financial problems of the Chinese developer China Evergrande have eased after the People's Bank of China poured another 100 billion yuan into the financial system as part of reverse repo operations to ensure sufficient liquidity in the banking system. The interest rate on 14-day operations was 2.35% per annum, the Chinese Central Bank said.

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