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Euro edges higher against dollar to US$1.3666

Euro edges higher against dollar to US$1.3666

The euro edged higher against the dollar on Friday, as markets waited to hear what U.S. Federal Reserve Chairman Ben Bernanke would say at the bank's annual conference in Jackson Hole, Wyoming.
The 13-nation euro rose slightly to US$1.3656 in morning European trading, up from the US$1.3637 it bought in New York late Thursday.
The British pound rose to US$2.0155 from US$2.0135 on Thursday night.
Investors will look for further hints today about the likelihood of a U.S. interest rate cut when Bernanke is scheduled to speak at the central bank's annual conference in the U.S. state of Wyoming.
On Wednesday, Bernanke noted that the bank was "prepared to act as needed" to ensure credit market troubles did not expand further, fueling speculation that a U.S. interest-rate cut could be in the offing next month from the current level of 5.25 percent.
Analysts also have raised doubts about prospects of the European Central Bank raising its key refinancing rate to 4.25 percent next month, following mounting problems with credit availability.
Higher interest rates, used to combat inflation, can strengthen a currency by giving investors higher returns on investments denominated in it.
The dollar rose against the Japanese currency, climbing to 116.24 yen from 115.74.


Updated : 2021-01-22 14:11 GMT+08:00