The U.S. greenback soars in value as the Federal Reserve continues its interest rate hike.

Daisy Harvey

2018-10-07 13:39:00 Sun ET

The U.S. greenback soars in value as the Federal Reserve continues its interest rate hike. With impressive service-sector data and non-farm payroll wage growth, the dollar hits an 11-month high level against foreign currencies such as the Euro, British pound, Japanese yen, and Chinese renminbi etc. This currency adjustment drives U.S. 10-year Treasury yield to its highest level near 3.2% since mid-2011.

The latter long-term Treasury bond yield increase assuages the recent worries and concerns about potential U.S. yield curve inversion, which often indicates the dawn of a major U.S. economic recession.

From Europe and Australia to China and India, global economies either stagnate or slow down as U.S.-centric free capital flows take place. In addition to the recent greenback strength, crude oil prices surge toward $89-$95 per barrel in response to sequential decreases in OPEC oil production. As this oil price hike coincides with dollar appreciation, American households, firms, and financial intermediaries face inflationary cost increases across a common basket of goods and services.

Several economic media commentators pencil in another U.S. Federal Reserve interest rate hike in December 2018 for better inflation containment.

 


If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.

Blog+More

Stock Synopsis: With a new Python program, we use, adapt, apply, and leverage each of the mainstream Gemini Gen AI models to conduct this comprehensive fundamental analysis of IonQ (U.S. stock symbol: $IONQ).

Olivia London

2025-10-01 10:29:00 Wednesday ET

Stock Synopsis: With a new Python program, we use, adapt, apply, and leverage each of the mainstream Gemini Gen AI models to conduct this comprehensive fundamental analysis of IonQ (U.S. stock symbol: $IONQ).

Stock Synopsis: With a new Python program, we use, adapt, apply, and leverage each of the mainstream Gemini Gen AI models to conduct this comprehensive fund

+See More

President Trump supports a bipartisan bill or the Foreign Investment Risk Review Modernization Act.

Charlene Vos

2018-07-21 13:35:00 Saturday ET

President Trump supports a bipartisan bill or the Foreign Investment Risk Review Modernization Act.

President Trump supports a bipartisan bill or the Foreign Investment Risk Review Modernization Act (FIRRMA), which effectively broadens the jurisdiction of

+See More

Federal Reserve reduces the interest rate by another quarter point to the target range of 1.75%-2% in September 2019.

John Fourier

2019-10-07 12:35:00 Monday ET

Federal Reserve reduces the interest rate by another quarter point to the target range of 1.75%-2% in September 2019.

Federal Reserve reduces the interest rate by another key quarter point to the target range of 1.75%-2% in September 2019. In accordance with the Federal Res

+See More

President Trump delivers his second state-of-the-union address to U.S. Congress.

Olivia London

2019-02-06 10:36:49 Wednesday ET

President Trump delivers his second state-of-the-union address to U.S. Congress.

President Trump delivers his second state-of-the-union address to U.S. Congress. Several key themes emerge from this presidential address. First, President

+See More

CNBC news anchor Becky Quick interviews Warren Buffett in early-2019.

James Campbell

2019-04-07 13:39:00 Sunday ET

CNBC news anchor Becky Quick interviews Warren Buffett in early-2019.

CNBC news anchor Becky Quick interviews Warren Buffett in early-2019. Buffett explains the fact that book value fluctuations are a metric that has lost rele

+See More

The Economist offers a special report that the new normal state of economic affairs shines fresh light on the division of labor between central banks and governments.

Jonah Whanau

2019-11-15 13:34:00 Friday ET

The Economist offers a special report that the new normal state of economic affairs shines fresh light on the division of labor between central banks and governments.

The Economist offers a special report that the new normal state of economic affairs shines fresh light on the division of labor between central banks and go

+See More