Next, what you need to know on Wednesday, April 16:
After a scarce recovery on Tuesday, the US Dollar (USD) It is under a renewed sales pressure on Wednesday while markets evaluate the latest news about commercial wars. The March Retail Sales and Production data will be presented at the US economic calendar. In addition, the Canada Bank (BOC) will announce monetary policy decisions. Finally, the president of the Federal Reserve, Jerome Powell, will give a speech in the late American session.
American dollar today
The lower table shows the percentage of US dollar change (USD) compared to the main coins today. American dollar was the weakest currency against the Swiss Franco.
| USD | EUR | GBP | JPY | CAD | Aud | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | -0.90% | -0.36% | -0.70% | -0.25% | -0.31% | -0.34% | -1.22% | |
| EUR | 0.90% | 0.57% | 0.21% | 0.64% | 0.83% | 0.59% | -0.32% | |
| GBP | 0.36% | -0.57% | -0.38% | 0.09% | 0.27% | 0.02% | -0.84% | |
| JPY | 0.70% | -0.21% | 0.38% | 0.46% | 0.71% | 0.43% | -0.55% | |
| CAD | 0.25% | -0.64% | -0.09% | -0.46% | 0.22% | -0.05% | -0.91% | |
| Aud | 0.31% | -0.83% | -0.27% | -0.71% | -0.22% | -0.27% | -1.10% | |
| NZD | 0.34% | -0.59% | -0.02% | -0.43% | 0.05% | 0.27% | -0.85% | |
| CHF | 1.22% | 0.32% | 0.84% | 0.55% | 0.91% | 1.10% | 0.85% |
The heat map shows the percentage changes of the main currencies. The base currency is selected from the left column, while the contribution currency is selected in the upper row. For example, if you choose the US dollar of the left column and move along the horizontal line to the Japanese yen, the percentage change shown in the box will represent the USD (base)/JPY (quotation).
Bloomberg reported at the last minute of Tuesday that US president Donald Trump launched an investigation into the need for critical mineral tariffs, the last movement in a commercial war in climbing that has signed up for key sectors of the global economy. Meanwhile, citing people familiar with discussions, the Wall Street Journal said the Trump administration plans to use the ongoing tariff negotiations to press US commercial partners to limit their treatment with China. The markets seem to have adopted a cautious posture after these developments. At the time of the publication, the futures of American stock market rates were down between 0.6% and 2%, while the USD index lost more than 0.5% in the day, standing at 99.55.
The National Statistics Office of the United Kingdom reported early Wednesday that annual inflation, measured by the variation of the consumer price index (CPI), dropped to 2.6% in March from 2.8% in February. In the same period, the underlying IPC increased 3.4%, as expected. GBP/USD He largely ignored these numbers and was quoting at its highest level since October, above 1,3250.
USD/CAD He won traction and rose about 0.6% on Tuesday after statistics Canada reported that the CPI increased 2.3% in annual terms in March, compared to market expectation of 2.6%. Later in the day, the BOC is expected to maintain its policy rate without changes in 2.75%. Before the BOC event, the USD/CAD is negative in negative territory below 1,3950.
After falling more than 0.5% on Tuesday, EUR/USD He reversed his address during Asian negotiation hours on Wednesday and rose above 1,1350. Eurostat will publish final revisions to the March inflation data and the European Central Bank will announce policy decisions on Thursday.
The governor of the Bank of Japan (BOJ), Kazuo Ueda, said in the early hours of Wednesday that the Central Bank may need to take policy measures if US tariffs harm the economy. USD/JPY It falls sharply in the middle of the week and is negotiated near the minimum of several months that it played at 142.05 last week.
China’s data showed first thing that the gross domestic product expanded at an annual rate of 5.4% in the first quarter. This reading coincided with the expansion rate of the previous quarter and exceeded the expectation of the market of 5.1%. After closing the fifth consecutive day in green, AUD/USD It remains in a consolidation phase around 0.6350 on Wednesday. In Thursday’s Asian session, Australian employment data will be closely followed by market participants.
After the lateral action observed Monday and Tuesday, Gold It benefited from the atmosphere of risk aversion in the market during the Asian session on Wednesday. At the time of publication, the Xau/USD was negotiated in a new historical maximum slightly below $ 3,300.
Commercial War between the US and China Faqs
In general terms, “Trade War” is a commercial war, an economic conflict between two or more countries due to the extreme protectionism of one of the parties. It implies the creation of commercial barriers, such as tariffs, which are in counterbarreras, increasing import costs and, therefore, the cost of life.
An economic conflict between the United States (USA) and China began in early 2018, when President Donald Trump established commercial barriers against China, claiming unfair commercial practices and theft of intellectual property by the Asian giant. China took retaliation measures, imposing tariffs on multiple American products, such as cars and soybeans. The tensions climbed until the two countries signed the Phase one trade agreement between the US and China in January 2020. The agreement required structural reforms and other changes in China’s economic and commercial regime and intended to restore stability and confidence between the two nations. Coronavirus pandemia diverted the attention of the conflict. However, it is worth mentioning that President Joe Biden, who took office after Trump, kept the tariffs and even added some additional encumbrances.
Donald Trump’s return to the White House as the 47th US president has unleashed a new wave of tensions between the two countries. During the 2024 election campaign, Trump promised to impose 60% tariff particularly in investment, and directly feeding the inflation of the consumer price index.
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.
