Dollar Advances After Report Shows U.S. Trade Deficit Narrowed
Published:
14 July 2004 y., Wednesday
The dollar had its biggest gain against the euro in two weeks after the U.S. trade deficit narrowed for the first time in six months, helped by exports that surged to a record.
Increased demand for the dollar helped the currency rebound from a four-month low against the euro and sent it higher against the other 15 most-traded currencies tracked by Bloomberg, including the Japanese yen, as well as the Canadian and Australian dollars.
``Expectations were that the deficit could have reached $50 billion -- it's a relief that it didn't,'' said Robert Lynch, a currency strategist in New York at BNP Paribas SA, France's second-largest bank by assets. ``The dollar could recoup some of its losses, especially given how far it has fallen since June.'' The dollar may rise to $1.2250 in the next few days, he said.
Against the euro, the dollar strengthened to $1.2323 per euro from $1.2409 late yesterday, according to EBS, an electronic currency dealing system. It was the biggest gain since June 29. The dollar also rose to 108.96 yen from 108.25 late yesterday.
The $46 billion gap in goods and services trade followed a record deficit of $48.1 billion in April, the Commerce Department said in Washington. The 4.5 percent reduction in the deficit in May was the largest since October 2002.
Šaltinis:
Bloomberg
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.
The most popular articles
The EBRD is making a €4 million equity investment in Geofoto, a Croatian geodetic company offering mapping, geodetic survey, photogrammetry, geoinformatics and aerial survey services, to support its drive to expand operations on international level.
more »
Nordea came out of 2009 in an even stronger position, despite one of the most challenging years for decades. Risk-adjusted profit increased 22% and our capital position and cost of funding are among the best in Europe.
more »
MEPs gave the green light on Thursday for EU funding to help Europe's unemployed start up small businesses.
more »
MEPs are deeply concerned about the long-standing and growing presence of al-Qaeda, and the deteriorating security, social and economic problems in Yemen, which they think could destabilise neighbouring countries.
more »
At the start of a new decade, Sub Saharan Africa is reeling from the effects of three major global crises – food, fuel and financial – that have reversed many of the economic achievements of the last 10 years and left some growth projections at levels below those of 30 years ago.
more »
The 5th High-level Seminar of Central Banks in the East Asia-Pacific Region and the Euro Area was jointly organised by the European Central Bank and the Reserve Bank of Australia, in cooperation with the Hong Kong Monetary Authority.
more »
The EBRD and European Fund for Southeast Europe are boosting the availability of financing to private businesses in Moldova with a $10 million loan to ProCredit Bank in Moldova for on-lending to micro and small enterprises.
more »
The EBRD is supporting the development of the retail infrastructure in Croatia with a €68 million loan to finance the construction of a modern shopping centre in Split, the second largest city in Croatia.
more »
The European Bank for Reconstruction and Development has agreed to sell its 15 percent stake in OAO Swedbank Russia to its parent and major stakeholder, Sweden’s Swedbank AB, a move which would give it full ownership of its Russian subsidiary.
more »
The Ministers of Industry took the first steps in San Sebastián today to make the electric vehicle a reality in Europe and agreed that European institutions, with the EC at the head, should lead a common strategy on electric vehicles.
more »