Dollar Up as Omicron Fears Die Down By


© Reuters.

By Gina Lee – The dollar was up on Tuesday morning in Asia as started receding.

The that tracks the greenback against a basket of other currencies inched down 0.09% to 96.245 by 12:12 AM ET (5:12 AM GMT).

The pair edged up 0.19% to 113.68.

The pair was up 0.37% to 0.7075, with the keeping its interest rate unchanged at 0.10% earlier in the day. The pair edged up 0.19% to 0.6763.

The pair inched down 0.07% to 6.3712. Chinese data released earlier in the day showed that grew 22% year-on-year, and grew 31.7% year-on-year, in November. The was at $71.72 billion.

The pair edged up 0.15% to 1.3284.

“Although there is still a lot of uncertainty over Omicron’s health and economic impact, investors have embraced news from South Africa suggesting the exponential rise in Omicron infections has not been followed by a big wave in hospitalizations,” NAB strategist Rodrigo Catril told Reuters.

Ntsakisi Maluleke, a public health specialist in South Africa’s Gauteng province, said over the weekend that patients with omicron had only shown mild symptoms.

Meanwhile, China eased its monetary policy by cutting banks’ reserve requirements for the second time in 2021. The People’s Bank of China will reduce most banks’ reserve requirement ratio by 0.5 percentage points next week, releasing CNY1.2 trillion ($188.16 billion) of liquidity.

The Reserve Bank of India will hand down its policy decision on Wednesday. The , the , and the will all hand down their policy decisions in the following week.

Although the Reserve Bank of New Zealand hiked its to 0.75% in November, some investors said that the move was bad for growth.

“It does seem like the market is fatigued with the New Zealand good news story, and is less willing to reward currencies heading for higher interest rates,” ANZ Bank analysts said in a note.

“They normally signal strong growth, but in a supply-constrained world, higher rates may be a signal of slower growth to come. New Zealand’s top of the pile cash rate, and expectations of more interest rate hikes to come, certainly aren’t helping the New Zealand dollar.”

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.