The U.S. dollar hovered below recent peaks on Tuesday, as investors turned to this week’s Federal Reserve meeting for clues on the policy outlook, while cryptocurrencies pulled back sharply from an attempt to break out of a monthslong range.
Oil was up Tuesday morning in Asia, with prices steadying from Monday’s fall. Investors are hoping that tight supply and rising vaccination rates will offset the impact of rising global COVID-19 cases on fuel demand.
All three major averages clinched record highs Monday after cutting intraday losses ahead quarterly earnings from big tech and further clues on monetary the Federal Reserve due this week.
Asian equity markets rose cautiously Tuesday, after touching year to date lows the day before, with traders keeping at least half an eye on the United States where major companies report earnings and the Federal Reserve meets on policy this week.
Gold was up on Monday morning in Asia, alongside a U.S. dollar that is holding firm and investors looking ahead to the U.S. Federal Reserve’s policy decision, to be delivered by the Federal Open Market Committee (FOMC) later in the week.
The dollar was down on Monday morning in Asia but remained near its strongest level since early April 2021 against the euro. Investors also await the U.S. Federal Reserve’s latest policy decision, due to be handed down on Wednesday.