Dollar Rises Versus Euro, Oil Drops Before ECB, OPEC Meetings

The dollar hit its strongest since mid-March against its peers at the start of a week likely to highlight the divergent outlooks for U.S. and euro zone interest rates, while oil fell with OPEC ministers expected to keep the pumps on.

The euro EUR= fell against the dollar, before a European Central Bank meeting on Thursday that is expected to unveil fresh monetary easing measures.

The U.S. Federal Reserve,, by contrast, is expected to raise interest rates later this month for the first time in nearly a decade.

European shares opened lower, following falls in Asia, with investors nervous before the Thursday’s meeting at which the ECB may extend its bond-buying program and cut its already negative deposit rate. Shares later picked up.

Reuters

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Craig Erlam

Craig Erlam

Senior Market Analyst - UK & EMEA at OANDA
Based in London, Craig Erlam joined OANDA in 2015 as a Market Analyst. With many years of experience as a financial market analyst and trader, he focuses on both fundamental and technical analysis while producing macroeconomic commentary. His views have been published in the Financial Times, Reuters, The Telegraph and the International Business Times, and he also appears as a regular guest commentator on the BBC, Bloomberg TV, FOX Business and BNN. Craig holds a full membership to the Society of Technical Analysts and is recognised as a Certified Financial Technician by the International Federation of Technical Analysts.
Craig Erlam