AGL 8.30 Increased By ▲ 0.44 (5.6%)
ANL 10.59 Increased By ▲ 0.24 (2.32%)
AVN 78.60 Increased By ▲ 0.70 (0.9%)
BOP 5.45 Increased By ▲ 0.06 (1.11%)
CNERGY 5.59 Increased By ▲ 0.58 (11.58%)
EFERT 80.25 Decreased By ▼ -0.55 (-0.68%)
EPCL 69.60 Increased By ▲ 1.50 (2.2%)
FCCL 15.30 Increased By ▲ 0.74 (5.08%)
FFL 6.53 Increased By ▲ 0.33 (5.32%)
FLYNG 7.18 Increased By ▲ 0.53 (7.97%)
GGGL 10.85 Increased By ▲ 0.27 (2.55%)
GGL 16.79 Increased By ▲ 0.38 (2.32%)
GTECH 8.14 Increased By ▲ 0.02 (0.25%)
HUMNL 7.04 Increased By ▲ 0.02 (0.28%)
KEL 2.99 Increased By ▲ 0.11 (3.82%)
LOTCHEM 30.77 Increased By ▲ 2.24 (7.85%)
MLCF 28.98 Increased By ▲ 2.03 (7.53%)
OGDC 82.75 Increased By ▲ 0.60 (0.73%)
PAEL 16.97 Increased By ▲ 0.32 (1.92%)
PIBTL 6.08 Increased By ▲ 0.24 (4.11%)
PRL 18.10 Increased By ▲ 1.35 (8.06%)
SILK 1.15 Increased By ▲ 0.05 (4.55%)
TELE 11.25 Increased By ▲ 0.28 (2.55%)
TPL 9.20 Decreased By ▼ -0.02 (-0.22%)
TPLP 19.88 Increased By ▲ 0.22 (1.12%)
TREET 26.46 Increased By ▲ 0.55 (2.12%)
TRG 94.60 Increased By ▲ 0.99 (1.06%)
UNITY 19.50 Increased By ▲ 0.50 (2.63%)
WAVES 14.34 Increased By ▲ 0.78 (5.75%)
WTL 1.30 Increased By ▲ 0.06 (4.84%)
BR100 4,187 Increased By 80.1 (1.95%)
BR30 15,474 Increased By 343.5 (2.27%)
KSE100 42,096 Increased By 670.9 (1.62%)
KSE30 15,883 Increased By 222.7 (1.42%)

LONDON: The euro rose on Thursday ahead of the European Central Bank meeting expected to outline a clearer schedule for unwinding stimulus, opening up the possibility of a first rate hike later this year.

After touching its lowest since early March on Wednesday, the euro rose 0.12% to $1.09050 at 0835 GMT, ahead of the meeting. The ECB is expected to give some clues on its coming policy amid record-high inflation and a war-related recession.

Antje Praefcke, FX analyst at Commerzbank said the market will refrain from a strong preference of the euro over the dollar until there is more clarity whether the key rate will be raised in the fourth quarter.

“I think the market will want to wait and see how the Ukraine conflict and the energy sanctions develop,” she said.

The dollar index, which measures the greenback against six peers, was down 0.1% at 99.702, after touching its highest of 100.520 since May 2020 on Wednesday, supported by a surge in Treasury yields this week.

But the benchmark 10-year Treasury yield rally paused, after rising to a December-2018 high, as inflation data this week, while high, was not as bad as some had feared.

The battered yen had some respite, making a small recovery from a 20-year low hit against the dollar.

Euro weighed down by waning hopes for peace, kiwi helped by RBNZ hike

More than three-quarters of Japanese firms say the yen has declined to point of being detrimental to their business, a Reuters poll found.

The Swedish crown traded 0.4% higher to 9.4380, after surging to an eight-day high against the dollar as inflation data came in stronger than expected, bolstering expectations for a Riksbank’s rate hike sooner rather than later.

The bank had indicated in February it planned to keep rates at 0% until 2024, which many now said is unrealistic.

Other central banks have reinforced the hawkish global sentiment by tightening monetary policy.

The Bank of Korea surprised markets with a rate hike, while the Monetary Authority of Singapore also tightened policy, sending the Singapore dollar to its highest since February.

On Wednesday, the Bank of Canada and Reserve Bank of New Zealand both raised rates by 50 basis points, the largest hike for each in around 20 years.

Comments

Comments are closed.