USD hits 9-month highs

Minutes released from the Federal Reserve bank yesterday afternoon included hawkish commentary which supported the greenback. Fed officials agreed to scale back bond purchasing at some point this year. The currency is trading at levels not seen since November.

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  • FX Rates
    August 19, 2021

    Rates are not real time. Rates are today's indicative mid-market rates as of time of publishing, which may vary. Please contact SVB for a current quote.


  • USD
    A gauge of US dollar strength hit 9-month highs as investors remain concerned over the spread of the Delta variant. Yesterday, the Fed released minutes signaling a more hawkish view with most officials agreeing to scale back bond purchasing sometime this year.
    GBP
    Inflation in the UK eased back to the 2% goal for the first time since April. GBP/USD is trading lower on broad USD strength.
    EUR
    EUR/USD broke below the 1.17 handle hitting a low of 1.1666. ECB Chief Economist, Philip Lane stated that the central bank’s revamp of plans for interest rates is only the first step to implement the ECB’s new strategy.
    CAD
    USD/CAD trading around 1% higher breaking above 1.2750. Broad USD strength and oil prices trading near the bottom of recent ranges have pushed the currency pair higher.
    ASIA/PACIFIC

    The Chinese yuan has continued to be resilient against the US dollar, resulting in the Chinese currency trading at stronger levels since 2016 relative to trading partners. As the US dollar has pushed higher on hawkish comments from the Fed, China’s relative success in containing the coronavirus has helped the local currency outperform.

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Cate Camerota
WRITTEN BY
Cate Camerota

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