Here's what you need to know to trade today Tuesday April 16:
He US dollar (USD) continues to gain strength early on Tuesday, after overtaking its main rivals on Monday. Data on housing starts and construction permits for March will be published on the American agenda. The Federal Reserve (Fed) will release industrial production figures and several Fed policymakers, including Chairman Jerome Powell, will deliver speeches later in the American session.
While easing geopolitical tensions hampered demand for the dollar during the first half of trading on Monday, the currency gained bullish momentum following encouraging retail sales data. In turn, the USD index closed in positive territory for the fourth consecutive day. Early Tuesday, the index continues to advance towards 106.50 and is trading at its highest level since early November. Meanwhile, the benchmark 10-year US Treasury yield remains above 4.6% after rising nearly 2% on Monday.
Price of the US dollar in the last 7 days
The following table shows the percentage change of the United States Dollar (USD) against the main currencies quoted in the last 7 days. The US Dollar was the strongest currency against the Australian Dollar.
USD | EUR | GBP | CAD | AUD | JPY | NZD | CHF | |
USD | 2.36% | 1.91% | 1.73% | 2.88% | 1.74% | 2.47% | 0.92% | |
EUR | -2.41% | -0.46% | -0.64% | 0.56% | -0.61% | 0.13% | -1.47% | |
GBP | -1.94% | 0.46% | -0.17% | 1.00% | -0.17% | 0.60% | -0.99% | |
CAD | -1.76% | 0.63% | 0.18% | 1.17% | 0.01% | 0.75% | -0.84% | |
AUD | -2.96% | -0.54% | -1.02% | -1.19% | -1.17% | -0.43% | -1.99% | |
JPY | -1.77% | 0.63% | 0.18% | -0.02% | 1.17% | 0.74% | -0.84% | |
NZD | -2.54% | -0.12% | -0.57% | -0.77% | 0.41% | -0.74% | -1.60% | |
CHF | -0.95% | 1.44% | 1.02% | 0.83% | 1.96% | 0.85% | 1.60% |
The heat map shows the percentage changes of the major currencies against each other. The base currency is chosen in the left column, while the quote currency is chosen in the top row. For example, if you choose the Euro in the left column and scroll down the horizontal line to the Japanese Yen, the percentage change that appears in the box will represent EUR (base)/JPY (quote).
The Iranian Minister of Foreign Affairs, Hossein Amir-Abdollahian, would have told his Chinese counterpart in a telephone conversation that Iran is willing to “act with moderation and has no intention of further aggravating the situation.” After the sharp drop recorded on Monday by the Wall Street's main indices, US stock index futures are trading slightly lower early on Tuesday.
During Asian trading, data from China showed that real Gross Domestic Product (GDP) grew at an annual rate of 5.3% in the first quarter. This reading followed the 5.2% growth recorded in the fourth quarter of 2023 and exceeded market expectations of 5%. On a negative note, retail sales in China grew 3.1% year-on-year in March, missing analysts' estimate of a 4.5% increase.
He AUD/USD came under bearish pressure following mixed Chinese data and is trading at its lowest level in five months, slightly above 0.6400.
Japanese Chief Cabinet Secretary Yoshimasa Hayashi said Tuesday that it is important for currencies to move stably, reflecting fundamentals. Hayashi refrained from commenting on a possible intervention, but reiterated that they are prepared to take all measures. He USD/JPY It gained 0.6% on Monday and reached its highest level in more than 30 years before entering a consolidation phase below 154.50.
The UK's Office for National Statistics reported early on Tuesday that the ILO unemployment rate rose to 4.2% in the three months to February, from 4%. Other data in the report showed that wage inflation, measured by the change in average earnings without bonuses, fell from 6.1% annually to 6%. He GBP/USD It fell towards 1.2400 after the data was released and hit its lowest level since mid-November.
He Gold fell towards $2,320 in the early hours of the American session on Monday, pressured by rising US yields and broad-based USD strength. However, market risk aversion helped XAU/USD gain bullish momentum later. After rising more than 1.5% on Monday, Gold appears to have stabilized around $2,380 early Tuesday.
The attempt to recover EUR/USD It was short-lived on Monday and the pair closed the fifth consecutive day in the red. In the European morning on Tuesday, EUR/USD remains lower and is trading very close to 1.0600.
Later, Statistics Canada will release Consumer Price Index data for March. He USD/CAD remains in positive territory above 1.3800 in the European morning.
US Dollar FAQ
What is the US Dollar?
The United States Dollar (USD) is the official currency of the United States of America, and the “de facto” currency of a significant number of other countries where it is in circulation alongside local banknotes. According to 2022 data, it is the most traded currency in the world, with more than 88% of all global currency exchange operations, equivalent to an average of $6.6 trillion in daily transactions.
After World War II, the USD took over from the pound sterling as the world's reserve currency.
How do the decisions of the Federal Reserve affect the Dollar?
The single most important factor influencing the value of the US Dollar is monetary policy, which is determined by the Federal Reserve (Fed). The Fed has two mandates: achieve price stability (control inflation) and promote full employment. Your main tool to achieve these two objectives is to adjust interest rates.
When prices rise too quickly and inflation exceeds the 2% target set by the Fed, the Fed raises rates, which favors the price of the dollar. When Inflation falls below 2% or the unemployment rate is too high, the Fed can lower interest rates, which weighs on the Dollar.
What is Quantitative Easing and how does it influence the Dollar?
In extreme situations, the Federal Reserve can also print more dollars and enact quantitative easing (QE). QE is the process by which the Fed substantially increases the flow of credit into a clogged financial system. This is an unconventional policy measure used when credit has dried up because banks do not lend to each other (for fear of counterparty default). It is a last resort when a simple lowering of interest rates is unlikely to achieve the necessary result. It was the Fed's weapon of choice to combat the credit crunch that occurred during the Great Financial Crisis of 2008. It involves the Fed printing more dollars and using them to buy US government bonds, primarily from financial institutions. QE usually leads to a weakening of the US Dollar.
What is quantitative tightening and how does it influence the US dollar?
Quantitative tightening (QT) is the reverse process by which the Federal Reserve stops purchasing bonds from financial institutions and does not reinvest the principal of maturing portfolio securities in new purchases. It is usually positive for the US dollar.
Source: Fx Street

I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.