The dollar recovered from losses of oil

The dollar saw gains and partially recovered from earlier losses to Wednesday, especially in countries whose currency is focused on raw materials, due to oil prices continue to fall. On the New York Mercantile Exchange, investors reacted to weak data from China, weakening 1.13 USD or 2% WTI prices with delivery in June, ie USD 43.65 per barrel. Analysts have been closely watching oil prices in recent months, as the oil producers paices particularly those that are part of OPEC continue to disagree about production limitations.

The dollar rose 0.8% against a basket of 16 currencies, as taken by Wall Street Journal Dollar Index, significantly increased against the Australian dollar and Brazilian real. The euro retreated from its peak in August 2015, dropping 0.3% to 1.1503 USD. Traders reacted to the decision by the Reserve Bank of Australia, about reducing interest rates to a record low, weakening the Australian dollar 2.4% to 0.7487.

Other currencies also cracked down against the dollar, especially those belonging to the commodity producing countries and emerging markets. The dollar rose 1.9% against the Brazilian real to 3.5653, 1.9% against the Russian ruble, highly affected by inflation to 66.42 and 1.5% against the Canadian dollar to 1.2717. The dollar also rose against the Japanese yen, which has remained stubbornly high despite the measures taken by the Bank of Japan, rising 0.2% to 106.65 JPY.

During the last quarter, operators have noticed the moderate performance of the US economy, in particular the growth figures. Also the increase in interest rates by the Fed in December, led to a strengthening effect on the dollar, signs that the US economy is weak and capitulating world has become the most pessimistic market. Even the Fed agrees to some extent, saying it would be better to wait before raising interest rates again until there is a better indicator of the global economy. The growth of the economy in the first quarter of the year stood at less than expected while bank revenues have also begun to unsettle investors. Some operators have been making contributions against the US currency. On Tuesday the dollar index fell below 92 for the first time since January 2015, so the currency fell to a minimum in the last 16 months. Scotiabank data revealed a significant increase in the number of short quotations against the greenback. Although many forex investors are making contributions against the US currency, although US data were weak this quarter; It is not in the same position as bleak euro zone or Japan. Investors are awaiting unemployment data published on Friday. The US labor market is considered one of the best measures of the health of the economy. Despite the moderate performance in the first quarter of this year, the job market in the US has remained relatively stable compared with their counterparts in other Western paices, giving hope to some analysts. If Friday's data are less than ideal, it is unlikely that the Federal Reserve will raise again the interest rate, resulting in a further depreciation of the US currency