Fed Chairman dropped the dollar - ConsultFX

Fed Chairman dropped the dollar

Fed Chairman dropped the dollar.

On late Wednesday evening, Fed Chairman Jerome Powell said that the current dollar rate is only "slightly below" the equilibrium level. This means that the Fed is very close to the goal of raising rates - and may stop with increases for a long period - and it is possible that there will not be new increases before the big crisis that everyone expects no later than 2020.

This statement by the head of the Fed caused a sharp reversal, in particular, in the EURUSD pair to the top - the rate rose sharply in a couple of hours from 1.1265 to 1.1385

There was an important statement on the pound: the head of the Bank of England Karni said that, in case of failure of the EU agreement - Britain in the Parliament of England, Britain will face a recession "the worst since World War II". Thus, the Bank of England exerts pressure on the parliament so that the deputies in the voting on December 11, in an agreement with the EU, would not even think of failing the agreement.

As a result, the dollar is falling, the euro and the pound are growing.


The material has been provided by InstaForex Company - www.instaforex.com