Dollar set for big annual gain as traders brace for high US rates The U.S. dollar headed towards an almost 7% annual gain on Friday and Japan's yen for a fourth consecutive year of losses as traders anticipated robust U.S. growth would make the Federal Reserve cautious on…
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US dollar set for big annual gain as traders brace for high US rates https://t.co/1B3jgw27cU via @Reuters https://t.co/G3z2OEBsUp
The U.S. dollar has shown notable strength in recent trading sessions, with various currency strength charts indicating it among the strongest currencies globally. As of December 27, 2024, the dollar is poised for an annual gain of nearly 7%, driven by expectations of sustained high U.S. interest rates. In contrast, the Japanese yen is on track for its fourth consecutive year of losses. On December 27, the dollar was trading at over 4.78 lei against the Romanian leu, nearing parity with the euro at its highest level in two years, with a rate of 0.96. The dollar's strength has been reflected in its performance against multiple currencies, with 21 out of 28 USD crosses showing positive returns, while the yen recorded a -0.317% return against the dollar. The recent trends underscore the dollar's robust position in the forex market amid traders' anticipation of strong U.S. economic growth.