[size=32]Where is the dollar heading for this year?
- 9 Hours Ago
[/size]
[size][size][url][/url][/size]
[/size]
Financial institutions and financial analysts expect the dollar to rise further this year, taking advantage of the geopolitical and financial turmoil that threatens the world, increase the risk of speculators in exchange markets, and at the same time weaken the major green card rivals such as the euro and sterling And the Japanese yen. According to British currency expert Tom Hollian in his exchange market analysis of the Pound Sterling website.
Economists see these conditions as good for the dollar, the biggest and most important safe haven for investors to protect their wealth in times of crisis. Despite expectations that the US Federal Reserve will ease monetary policy and possibly reduce the US interest rate this year, the investment bet on dollar strength continues in the exchange markets.
Interest rate cuts usually work against the strength of the dollar. However, exchange traders are building their accounts as the positive effects of the strength of the US economy will overcome the negative effects of interest rate cuts, especially at a time when the risks of European and Asian economies are increasing.
The data supporting the strength of the dollar is the strong US growth rate, which is expected to show data to grow by 3.1% this year.
This rate is much higher than the 1.1 per cent growth rate in the euro zone, according to the latest review by the European Central Bank, and in Japan, 2.1 per cent, according to official figures from the Ministry of Finance.
The second factor that supports the strength of the dollar is the drop in America's unemployment rate to its lowest point in history. The third factor is the tax-trapping policies that penalize American companies investing abroad and support the migration of US and foreign capital to the United States. This migration contributes to increasing global demand for the dollar.
The fourth factor is the strong recovery of the Wall Street market compared with the global financial markets. Investors in the US capital market in 2017 earned 25% of their investments. But the most important factors supporting the strength of the dollar are the geopolitical and financial risks that threaten its rivals.
On the single European currency, the euro, which is called the eurozone currency and includes 19 countries, the dollar benefits in its exchange rate from the many risks surrounding the unified trading area. In this regard, the European Central Bank (ECB), in its semi-annual "Financial Stability" report this month, says the risks to eurozone financial budgets are rising on corporate debt and sovereign debt levels. The euro zone's debt is estimated at 86.1 percent of the region's GDP, according to Eurostat.
The yield on Treasuries in the euro-zone countries continues to fall as German bunds' 10-year Treasury bills fell 13 basis points to 6.5 percentage points, according to ECB data. German bonds are an "item" accepted by investors in Europe and measure the attractiveness of foreign investors in the euro area.
In contrast, the risks are increasing on government bonds in Italy and Greece, and even French bonds are facing marketing difficulties because of the popular progress of the extreme right-wing front led by Marin Lupine in the European Parliament elections and the continued movement of yellow jackets.
According to a European Central Bank report released this month, any rise in the cost of European debt will lead to a severe turmoil in European financial markets. This is why speculators in the exchange market are betting that the ECB will not raise interest rates very soon, but will extend the duration of the government bond purchase program. This factor increases the expectations of the rise of the dollar against the single European currency "Euro".
In its latest report, the ECB expressed concern about investors' flight from weak euro zone bonds.
As for the exchange rate of the dollar against sterling, analysts expect that the dollar will benefit from the chaos in the course of the "Breakst", following the resignation of British Prime Minister Teresa Mai. According to Sterling Sterling, a British currency specialist, who will succeed May as Prime Minister and how he will deal with the BRICEST file will determine the Sterling exchange rate for the year.
The yen may be the only major currency expected to rise against the dollar in the short term. The yen rose to a two-week high against the dollar on Wednesday as fears of further escalation in the US-China trade dispute prompted investors to turn to assets deemed safe.
In terms of trade warfare, investors are betting that the US administration continues to encircle China at two levels: blocking trade expansion through the so-called "Belt and Road Initiative" and secondly through the administration's fee for goods worth two hundred billion dollars.
So far, there is no risk that China will use a currency-cutting weapon or the sale of US bonds, which the United States fears.
So far, there is no risk that China will use a currency-cutting weapon or the sale of US bonds, which the United States fears.
In this regard, the Treasury Department said in a report issued Wednesday evening that China is not manipulating the value of its national currency, appeal to the Asian giant to take the necessary steps to avoid further reduction of the yuan.
According to the AFP, the ministry said in its semi-annual report: "Although China does not disclose its interference in foreign exchange, the Treasury Department considers that direct intervention by the People's Bank of China" central bank "was limited last year.
The value of the Chinese currency fell by 3.8% against the dollar in the second half of 2018 and by 8% in the whole of 2018.
The value of the Chinese currency fell by 3.8% against the dollar in the second half of 2018 and by 8% in the whole of 2018.
China allows the supply and demand to play its role in determining the value of its national currency, but it is known to intervene to keep the yuan within the margin of a certain pulse, which prompted the United States in the past to be accused of manipulating the value of its currency.
The US Treasury Department is evaluating all of America's trading partners, whose trade balance in goods and the United States account for a surplus of over $ 40 billion a year.
The ministry has put nine countries including China on the "watch list", but stressed that none of these countries do not manipulate the value of their national currency for unfair gains. The nine countries are China, Germany, Ireland, Italy, Japan, South Korea, Malaysia, Singapore and Vietnam.
The Beijing-Washington trade war has raised concern in financial markets, which fear China will use US Treasury bonds as a weapon to counter tariffs imposed by Washington on Chinese goods. China's sale of bonds affects the value of the dollar, as it increases the supply of dollar-denominated instruments. But many money experts rule out this possibility, because China will be the biggest loser.
Experts, previously published by The New Arab, have suggested that the United States may consider a major sell-off of US Treasuries by China as a step that threatens its national security and may therefore freeze Chinese bonds.
China's bond holdings in late March totaled $ 1.12 trillion, up from $ 1.32 trillion in 2013. The world's second-largest economy has about 7 percent of the current US $ 16.18 trillion in public debt, its lowest share of 14 percent. Years.
Yesterday at 7:52 am by Rocky
» utube 3/28/24 MM&C Iraqi Dinar - IQD Update - SWIFT - Purchasing Power - Urban Renaissance - Releas
Yesterday at 7:51 am by Rocky
» Al-Mandalawi: Iraq is witnessing competition between major companies...and the House of Representati
Yesterday at 7:49 am by Rocky
» The President of the Republic stresses the importance of the role of programmers in developing the w
Yesterday at 7:46 am by Rocky
» The Minister of Industry and Minerals follows up on the technical and production performance of the
Yesterday at 7:45 am by Rocky
» The Minister of Finance is following up on the field the progress of the newly implemented ASYCUDA s
Yesterday at 7:44 am by Rocky
» Statistics: There are more than 15 million bank accounts in Iraq
Yesterday at 7:42 am by Rocky
» Representative: One paragraph hinders the passage of a general amnesty within the House of Represent
Yesterday at 7:37 am by Rocky
» Parliamentary Finance: “The draft federal budget law will be devoid of new job grades.”
Yesterday at 7:36 am by Rocky
» Parliamentary action to resolve the fate of “food security contracts” in 15 governorates
Yesterday at 7:35 am by Rocky
» 300 factories turned into "iron scrap" in Diyala
Yesterday at 7:34 am by Rocky
» A deputy expects the dollar exchange rate to reach 140 Iraqi dinars
Yesterday at 7:32 am by Rocky
» Al-Yasiri: The American administration is working hard to destroy the Iraqi economy
Yesterday at 7:31 am by Rocky
» Infographic: The highest annual salaries of leaders of Arab countries
Yesterday at 7:30 am by Rocky
» Communications announces that the electronic signature project has reached advanced stages
Yesterday at 7:29 am by Rocky
» Parliamentary Integrity presents a file related to Kuwaiti violations of Iraqi oil
Yesterday at 7:27 am by Rocky
» Parliamentary move to include amendments to Parliament’s internal regulations on the agenda (documen
Yesterday at 7:25 am by Rocky
» The Iraqi President urges the Minister of Finance to expedite the payment of salaries to the Kurdist
Yesterday at 7:23 am by Rocky
» Central Bank of Iraq sales exceeded $251 million at today’s auction
Yesterday at 7:21 am by Rocky
» The Foreign Minister questions the "Iraqi resistance" attacks against Israel: the other side did not
Yesterday at 7:20 am by Rocky
» The Minister of Labor announces progress in the electronic payment system
Yesterday at 7:17 am by Rocky
» Interior Ministry: For the first time, we controlled the smuggling of petroleum derivatives by 98 pe
Yesterday at 7:16 am by Rocky
» International companies offer offers to invest in the Dhi Qar marshes.. What distinguishes them?
Yesterday at 7:15 am by Rocky
» “Tough” comments on interest rates raise the dollar globally
Yesterday at 7:14 am by Rocky
» Iraq is the fifth largest oil supplier to South Korea in a month
Yesterday at 7:12 am by Rocky
» Recovering more than 100 billion as a result of more than 200,000 employees on social welfare
Yesterday at 7:11 am by Rocky
» The Sudanese consultant announces the completion of Baghdad Metro track designs
Yesterday at 7:08 am by Rocky
» Al-Sudani stresses ending the problem of triple-shift schools
Yesterday at 7:07 am by Rocky
» Iraq begins building two new tankers to transport petroleum products
Yesterday at 7:06 am by Rocky
» Forming a council for “competition and preventing monopoly”
Yesterday at 7:04 am by Rocky
» Features of an Iraqi-Turkish agreement regarding the status of the Kurdistan Workers’ Party
Yesterday at 7:02 am by Rocky
» {Al-Buzrajiya} between the hammer of fraud and the power of the owners
Yesterday at 7:01 am by Rocky
» Ministry of Oil: The gas sector is witnessing great development
Yesterday at 6:59 am by Rocky
» An agreement with Britain in the field of securities
Yesterday at 6:58 am by Rocky
» Discussions between Baghdad and Ankara to open a new port
Yesterday at 6:57 am by Rocky
» Trade: About 11 million citizens updated their new card information
Yesterday at 6:56 am by Rocky
» Electronic payment is sustainable growth
Yesterday at 6:55 am by Rocky
» Experts: Iraq qualifies to be an important tourist country
Yesterday at 6:54 am by Rocky
» Amending the Health Professions Law “robs” scientists of the central appointment 3 years after it wa
Yesterday at 5:20 am by Rocky
» Is the “blessings package” that Erbil paid to the citizens of Kurdistan related to the elections?
Yesterday at 5:19 am by Rocky
» Exceeded 5,000 projects.. Allocating 10 trillion dinars to support governorate reconstruction plans
Yesterday at 5:18 am by Rocky
» “His need no longer exists.” Parliamentary Finance confirms the necessity of returning the retiremen
Yesterday at 5:17 am by Rocky
» To communicate with the bases... 12 directives from Al-Sadr, including blocking numbers for non-gove
Yesterday at 5:15 am by Rocky
» In an interview with "Baghdad Today"... an Iranian researcher reveals the importance of Haniyeh's vi
Yesterday at 5:14 am by Rocky
» After it was 63 trillion in 2023... the 2024 budget deficit will rise to 80 trillion dinars
Yesterday at 5:13 am by Rocky
» Parliament reveals the date of the first evaluation of the governors and determines the party respon
Yesterday at 5:11 am by Rocky
» The President of the Republic informs Al-Araji and Al-Basri: Momentum must be mobilized to eliminate
Yesterday at 5:10 am by Rocky
» Can the Federal Court sue others? A legal clarification of its response mechanism to abuse
Yesterday at 5:09 am by Rocky
» Despite promises to soon stop burning gas.. What is the secret behind Iraq renewing the Iranian gas
Yesterday at 5:07 am by Rocky
» Advisor to Al-Sudani: The dollar is on the way to further decline, and 70% of Iraqi traders have ent
Yesterday at 5:06 am by Rocky
» Iraq exported more than 99 million barrels of oil last February
Yesterday at 5:04 am by Rocky
» Barzani “gives good news” to Kurdistan employees: salaries, land, and loan exemptions
Yesterday at 5:03 am by Rocky
» Alia Nassif: Nour Zuhair returned to the port of Umm Qasr to make deals.. An influential Shiite forc
Yesterday at 5:02 am by Rocky
» The Prime Minister announces the movement of nearly 500 stalled projects
Yesterday at 5:00 am by Rocky
» A government strategy to enhance investments.. Iraq is on the verge of a new era of economic develop
Yesterday at 4:59 am by Rocky
» Ranging between 20% and 50%.. The Kurdistan government decides to reduce service fees, customs dutie
Yesterday at 4:58 am by Rocky
» Al-Sudani: The reform approach in the security services is an integral part of reform in other secto
Yesterday at 4:56 am by Rocky
» Everyone in Iraq wants the Sudanese visit to Washington to be successful, even the factions!
Yesterday at 4:55 am by Rocky
» Sources and experts expect the agenda.. in his bag is the Baghdad dollar and the factions’ truce, bu
Yesterday at 4:54 am by Rocky
» The decision to raise gasoline prices arouses the ire of drivers...a reminder of the large demonstra
Yesterday at 4:53 am by Rocky
» Parliamentary services: 3 important hospitals in Baghdad will enter service at the end of the year
Yesterday at 4:52 am by Rocky
» Iraq signs a contract to supply Iranian gas for a period of five years
Yesterday at 4:50 am by Rocky
» Parliament adds a voting paragraph on amending the Penal Code to its agenda
Yesterday at 4:49 am by Rocky
» His political advisor: We are not afraid of Sudanese entering the elections alone
Yesterday at 4:48 am by Rocky
» Parliamentary services explain the reasons for the rise in real estate prices in Baghdad
Yesterday at 4:46 am by Rocky
» Attia, criticizing the government's decisions: "The citizen's feathers will be ruffled without servi
Yesterday at 4:45 am by Rocky
» Parliamentary Communications: Zain Iraq and Asiacell did not pay their debts
Yesterday at 4:44 am by Rocky
» The Governor of Karbala announces the imminent establishment of the largest industrial city in the c
Yesterday at 4:43 am by Rocky
» A government determination to end the issue of displaced persons in the middle of this year
Yesterday at 4:42 am by Rocky
» Iraq buys gas from Kurdistan to generate electricity
Yesterday at 4:41 am by Rocky
» Parliamentary signatures to include an amendment to the internal regulations to decide the choice of
Yesterday at 4:40 am by Rocky
» In Basra.. a demonstration against foreign workers in Iraqi companies (video)
Yesterday at 4:38 am by Rocky
» Al-Samarrai: Presidency of Parliament is an entitlement to the constituents, and calling it a “frame
Yesterday at 4:36 am by Rocky
» Electronic food supplies in 6 governorates... covering 11 million Iraqis and “writing off” about 700
Yesterday at 4:34 am by Rocky
» Corruption of the Ministry of Transport.. Representatives express their surprise at the minister’s s
Yesterday at 4:32 am by Rocky
» The biggest supporter of the invasion of Iraq.. The death of former US Senator Joe Lieberman
Yesterday at 4:31 am by Rocky
» Iraq is ranked “late.” A list of the most and least safe Arab countries for women
Yesterday at 4:30 am by Rocky
» The Council of Ministers exempts the Gulf Interconnection Authority from guarantee fees: it is a gov
Wed 27 Mar 2024, 7:48 am by Rocky
» The Iraqi government raises the size of the 2024 budget, and Parliament is “surprised”
Wed 27 Mar 2024, 7:46 am by Rocky
» Popular Movement: We have many economic options away from American hegemony
Wed 27 Mar 2024, 7:42 am by Rocky
» The Oil Parliament stresses the need to transfer part of the revenues to the producing governorates
Wed 27 Mar 2024, 7:41 am by Rocky
» It will cover 14 regions in eastern Iraq.. A deputy reveals the “border electricity” project
Wed 27 Mar 2024, 7:40 am by Rocky
» Experts Warn Mass Migration Threatens US Food Security
Wed 27 Mar 2024, 7:37 am by Bama Diva
» Al-Fateh: America occupies Iraq through agreements
Wed 27 Mar 2024, 7:37 am by Rocky
» Anger in Iraq over a "sudden decision"... and a reminder of a "general strike" that paralyzed the co
Wed 27 Mar 2024, 7:34 am by Rocky
» Parliamentary Committee: Parliament is discussing today a decision that “disturbed” the Iraqis
Wed 27 Mar 2024, 7:33 am by Rocky
» Ministry of Electricity: Our production will reach 27 thousand megawatts by May
Wed 27 Mar 2024, 7:31 am by Rocky
» Diagnosing the “most important” problems in the oil file between Baghdad and Erbil.. What is the rel
Wed 27 Mar 2024, 7:30 am by Rocky
» The Iraqi Fiqh Academy and the Sunni Endowment issue a fatwa to pay Zakat al-Fitr
Wed 27 Mar 2024, 7:28 am by Rocky
» The National Bank of Iraq continues its digital transformation by launching its new banking system a
Wed 27 Mar 2024, 7:26 am by Rocky
» Parliamentary Investment and the Central Bank are discussing the housing initiative
Wed 27 Mar 2024, 7:25 am by Rocky
» The Prime Minister announces the restart of 500 suspended projects
Wed 27 Mar 2024, 7:23 am by Rocky
» Al-Barti assesses the region's employees: Your salaries are insured and will be paid after resettlem
Wed 27 Mar 2024, 7:21 am by Rocky
» Iraqi-American discussions in anticipation of the Sudanese visit
Wed 27 Mar 2024, 7:20 am by Rocky
» Iraq and Turkey hold meetings in Ankara to discuss technical issues related to the development road
Wed 27 Mar 2024, 7:17 am by Rocky
» A government parliamentary agreement to support budget revenues and governorate allocations for inve
Wed 27 Mar 2024, 7:16 am by Rocky
» Oil: The gas sector is witnessing great development
Wed 27 Mar 2024, 7:15 am by Rocky
» A Kurdish-French agreement to develop trade and economic relations
Wed 27 Mar 2024, 7:13 am by Rocky
» Exchange companies in Mosul demand that they be entered into the currency selling window
Wed 27 Mar 2024, 7:12 am by Rocky