The US Dollar is flying high

The US dollar resumed its upward move on Friday and experienced the best performance of the year 2021 up to now. This rally happened after the meeting of the US central bank and the new decisions about increasing the interest rates till 2023.

After this decision, stock markets in Europe and the US fell quickly. Furthermore, we saw some changes in the value of different currency pairs containing the US dollar in the forex market. EUR/USD and GBP/USD were traded around 1.1860 and 13800, respectively. Christine Legarde, the European central bank president, will have a meeting this Monday, and she may talk about their monetary policy. However, it seems unlikely for the European Central Bank to change its loose monetary policy.

The unpleasant situation of the UK pound was exacerbated by the covid virus and concerns about the possible outbreak of the new Delta variant, and it may lead to further lockdown and another delay in reopening many financial sections.

AUD/USD experienced a new low level this year, but some other currency pairs such as KRW/USD and CNY/USD made traders really sad. Their small spread made it very difficult for traders to gain a good profit.

Also, Gold prices plunged to the lowest level in the past couple of months, but oil prices were almost stable, and currently, they’re benefiting from the lack of Iranian oil in the market.