{"id":1942519,"date":"2023-06-02T06:56:02","date_gmt":"2023-06-02T10:56:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/dollar-dips-as-chances-grow-for-fed-skip-debt-bill-passes\/"},"modified":"2023-06-02T07:00:10","modified_gmt":"2023-06-02T11:00:10","slug":"dollar-dips-as-chances-grow-for-fed-skip-debt-bill-passes","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/dollar-dips-as-chances-grow-for-fed-skip-debt-bill-passes\/","title":{"rendered":"US dollar falls as Fed may skip rate hike, debt bill approved."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">24<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fdollar-dips-as-chances-grow-for-fed-skip-debt-bill-passes%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1942519&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><h2>The Dollar Takes a Hit as Investors Anticipate No Interest Rate Hike<\/h2>\n<p>By Amanda Cooper<\/p>\n<blockquote>\n<p>The dollar was heading for its largest weekly fall since mid-January on Friday as the view took hold among investors that the Federal Reserve will forgo an interest rate hike this month, which would diminish the greenback\u2019s appeal to non-U.S. buyers.<\/p>\n<\/blockquote>\n<div id=\"div-gpt-ad-1663871513696-art-1\" style=\"min-width: 320px; min-height: 50px;  text-align: center;\">\n  <script> googletag.cmd.push(function() { googletag.display('div-gpt-ad-1663871513696-art-1'); }); <\/script>\n<\/div>\n<div class=\"ad-slot__ad-label\">Advertisement<\/div>\n<p>The U.S. Senate\u2019s passage of a bill to suspend the debt ceiling and avert a disastrous default also removed a pillar of support for the dollar, which had paradoxically been a key beneficiary of the uncertainty because of its <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/analysis-japans-current-account-decay-underscores-yens-weakened-stature\/\" title=\"Analysis-Japan\u2019s current account decay underscores yen\u2019s weakened stature\">safe-haven status<\/a>.<\/p>\n<p>The Australian dollar surged after an increase in the minimum wage stoked bets for the central bank to raise rates again next week.<\/p>\n<p>The dollar index, which measures the U.S. currency against six others, has dropped nearly 0.8% this week, its biggest weekly loss since mid-January. It was last down 0.1%.<\/p>\n<h3>Central Banks and Economic Data Take Center Stage<\/h3>\n<p>\u201cWith the debt ceiling in the rear-view mirror, focus is very much back on central banks and economic data,\u201d City Index markets strategist Fiona Cincotta said.<\/p>\n<p>\u201cThe problem is we\u2019ve really had quite mixed messages so, yes, more recently we had two officials mentioning a skip in June, but that doesn\u2019t rule out a hike later in the summer, or even in July, so I think that expectation could still keep the dollar supported,\u201d she said.<\/p>\n<p>\u201cAlso, let\u2019s not forget inflation is still high.\u201d<\/p>\n<ol>\n<li>Philadelphia Fed President Patrick Harker said on Thursday \u201cit\u2019s time to at least hit the stop button for one meeting and see how it goes\u201d, referring to the June 13-14 Fed meeting.<\/li>\n<li>A day earlier, Fed Governor Philip Jefferson said \u201cskipping a rate hike at a coming meeting would allow the committee to see more data before making decisions about the extent of additional policy firming\u201d.<\/li>\n<\/ol>\n<p>Some softness in U.S. manufacturing data overnight supported the case for a pause, although jobs figures continue to print hot, putting even more focus than usual on the monthly non-farm payrolls report later in the day.<\/p>\n<p>Money markets are pricing in a roughly 29% chance of a June hike, down from near 70% earlier in the week.<\/p>\n<p>The dollar edged into positive territory against the yen,  having logged its longest streak of daily losses against the Japanese currency since last November, with four days of declines. The dollar was last flat at 138.8 yen.<\/p>\n<p>The pair tends to track U.S. long-term Treasury yields, which were at 3.61% after falling to their lowest since Nov. 18 overnight.<\/p>\n<p>The euro rose 0.1% to $1.07695, its highest in around a week, thanks to a boost on Thursday from European Central Bank President Christine Lagarde, who said further policy tightening was necessary.<\/p>\n<p>Meanwhile, the U.S. Senate passed a bill to lift the government\u2019s $31.4 trillion debt ceiling on Thursday, readying it for President Joe Biden to sign ahead of Monday\u2019s deadline.<\/p>\n<p>\u201cThis clears the last residual bound to everything getting done and dusted by Monday\u2019s X-date,\u201d said Ray Attrill, head of foreign-exchange strategy at National Australia Bank (NAB).<\/p>\n<p>\u201cAt the margin, it plays with the grain of the more risk positive view in the market, which is proving to be U.S. dollar negative.\u201d<\/p>\n<p>The Aussie rose by as much as 0.93% to $0.663, its strongest since May 24. The primary driver was an announcement by Australia\u2019s <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/dollar-dips-as-chances-grow-for-fed-skip-debt-bill-passes\/\" title=\"US dollar falls as Fed may skip rate hike, debt bill approved.\">independent wage-setting body<\/a> that it would raise the minimum wage by 5.75% from July 1.<\/p>\n<p>Traders currently place a 67% chance the Reserve Bank of Australia (RBA) will raise rates by 25 basis points. Even if a hike doesn\u2019t happen next week, markets expect one by autumn.<\/p>\n<p>\u201cThis has seen market pricing for the RBA lift materially,\u201d said NAB\u2019s Attrill. \u201cThat\u2019s why Aussie is the outperformer today.\u201d<\/p>\n<h3>Other News:<\/h3>\n<ul>\n<li>Senator Tommy Tuberville says taxpayers shouldn\u2019t have to pay for anything to do with an abortion, explaining the so-called \u2018Hyde Amendment\u2019 which Joe Biden supported in the Senate, should have codified this policy.<\/li>\n<li>The Senate Republican leadership team speaks to the press addressing the nation\u2019s pressing issues.<\/li>\n<li>Former President Trump spoke at the West-Side Conservative Club event in Urbandale, Iowa.<\/li>\n<li>Joe Biden might not be the only one falling as the fate of the Debt Ceiling Agreement remains uncertain.<\/li>\n<li>The India and South Asia head of Amazon.com Inc\u2019s cloud division, Puneet Chandok\u2026<\/li>\n<li>Japan\u2019s privacy watchdog said on Friday it has warned OpenAI, the Microsoft-backed startup\u2026<\/li>\n<li>Alphabet Inc\u2019s Google is leading a $36 million funding round for Bengaluru-based Pixxel, a satellite-image startup, in the first\u2026<\/li>\n<li>Meta Platforms Inc on Thursday said it will begin tests on its social media websites Facebook and Instagram that will limit\u2026<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>The dollar is set for its biggest weekly decline since mid-January as investors believe the Federal Reserve will not raise interest rates this month, reducing its attractiveness to non-U.S. buyers. The U.S. Senate&#8217;s approval of a bill.<\/p>\n","protected":false},"author":66,"featured_media":1942520,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[542],"tags":[8850,5487,14169,3836,7498,5861,6366,9558],"class_list":["post-1942519","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-oann","tag-approved","tag-debt","tag-dollar","tag-falls","tag-fed","tag-hike","tag-rate","tag-skip"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1942519","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1942519"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1942519\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1942520"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1942519"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1942519"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1942519"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}