Economy

04:10 PM

Wednesday, May 24, 2023

Cairo- Masrawy:

The US dollar rose to a two-month high once morest a basket of currencies on Wednesday, as uncertainty over US debt ceiling negotiations sent investors to safe havens, while eyes were also on the British pound, Swedish krona and New Zealand dollar, according to Archyde.com.

The dollar index, which measures the greenback once morest six major currencies, rose to 103.77, up 0.25% on the day, the highest level since March 20.

The impasse in Washington over debt ceiling negotiations helped lift the dollar, although it might lead to a default and push the country into recession, as investors believe this might cause worse problems for the global economy, according to the agency.

The British Pound was also in the spotlight as it fell to a one-month low once morest the dollar at $1.23645 and was last just a little bit higher, down 0.23%, following data showed UK inflation slowed by far less than markets had expected.

The British currency lost ground once morest the EUR as well, which was last at 86.93 Pence.

The rise in inflation, which contributed to raising interest rates in the Bank of England, supported the pound sterling in recent months, but this relationship is now beginning to reverse, according to the agency.

Simon Harvey, head of FX analysis at Monex Europe, said: “We are now in the realm where if the Bank of England is meeting market expectations and taking rates that low, then we are talking regarding a deterioration in the UK investment outlook.”

Another currency that was under pressure was the Swedish krona, which reached 11,511 kroner per euro, its weakest price once morest the single currency since March 2009, according to the agency.

The Santiago Stock Exchange It operated in the red this Wednesday, weighed down by the global contingency and also by the request made yesterday by the Central Bank to local banks.

In detail, the issuing institute activated the Countercyclical Capital Requirement (RCC)which consists of accumulating a capital buffer so that it is available in the face of severe stress scenarios.

In the event that the latter happens, this cushion is thus released and, with this additional margin, the negative impacts of an abrupt restriction of essential services, such as the supply of credit, are mitigated.

Faced with this situation, in the Santiago Stock Exchange the Ipsa showed a variation of -1.24% shortly before noon, at 5,615.36 points.

The hardest-hit actions were precisely those of the bank: BCI shares fell 2.28%, Santander -1.88% and Itau -1.88%.

They were also in red Falabella (-1.65%), Copec (-1.04%) and Latam (-0.79%).

At a global level, the tensions in Washington to negotiate the lifting of the debt ceiling are also having an impact on the main stock markets.

Wall Street opened this Wednesday in the red and the Dow Jones Industrials, its main indicator, lost 0.49% at the opening.

For its part, the composite index of the Nasdaq market, in which the main technology companies are listed, fell 0.45% to 12,503.17 integers.

According to the Treasury Department, Washington might run out of funds to pay its debts on June 1 if Congress can’t agree to raise the debt ceiling.

The matter has been generating “nervousness among investors” for several days, the EFE agency remarked.

After maintaining an upward trend so far this day, The US dollar starts the session this Wednesday, May 24, with a slight fall, losing ground once morest various currencies globally.

The fall occurs as the financial market awaits the disclosure of the minutes of the May meeting of the Federal Reserve of USA (Fed). Added to that, the lack of an agreement to raise the US debt ceiling has also been a key factor in the decline of the greenback.

Fed Minutes

On the followingnoon of this same Wednesday, The Central Bank will release the minutes of the May meeting, same that will provide a clearer picture to traders regarding the future of the cycle of increases in interest rates.

Lately, the market had been bullish on a pause in the rise; however, following aggressive statements by St. Louis Fed President James Bullard, regarding carrying out two more increases in interest rates this year of 25 basis points; hopes of a pause end.

debt ceiling

Regarding the debt ceiling, negotiations to raise it continue between the White House and Congress. The country has until June 1 to reach a bipartisan agreement, otherwise the nation would enter its first default, which would unleash fears of a possible recession in the country; This has been warned by the US Treasury Secretary, Janet Yellen.

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Price of the dollar today, May 24: Exchange rate in Mexico, Honduras, Guatemala, Nicaragua…

we share you How much is the US dollar today, Wednesday May 24, in Mexico and part of Central America according to the most recent update of Investing.com; famous finance portal.

Purchase

Sale

On the morning of May 24, Gao Yun, secretary of the District Party Committee, went to Hermès (Shanghai) Trading Co., Ltd. for investigation and investigation, and Wang Nai, deputy district chief, participated. During the visit, Gao Yun had an in-depth discussion and exchange with the person in charge of the enterprise, and responded to the opinions and suggestions put forward by the enterprise one by one. Gao Yun emphasized that, as the fifth flagship store of Hermès in the world, “Hermes Maison” is currently the No. 1 merchant in Shanghai’s outbound tax refund sales. Guarantee jobs and provide support for the better development of enterprises.

Hermès is a French luxury brand, founded in Paris in 1837. It has 16 major craft departments including leather goods and harnesses, women’s silk products, and men’s silk products. Hermès (Shanghai) Trading Co., Ltd. was established in 2014 and currently has 15 stores, registered and operating in Huaihai Middle Road, Huangpu District.
Gao Yun pointed out that during the “14th Five-Year Plan” period, Huangpu will continue to build a “3+3+X” high-end service industry development system. At present, Huaihai Xintiandi is building an import trade promotion innovation demonstration zone. The reform and development of Huangpu requires more domestic and foreign leading enterprises, top institutions and outstanding talents to participate in this grand event. Looking forward to working hand in hand with more foreign-funded enterprises to make Huangpu a hot spot for domestic and foreign enterprises to invest and start business.