Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

FOREX-Dollar edges up ahead of Fed; Bitcoin futures seize the spotlight

Published 11/12/2017, 11:53 am
Updated 11/12/2017, 12:00 pm
© Reuters.  FOREX-Dollar edges up ahead of Fed; Bitcoin futures seize the spotlight

© Reuters. FOREX-Dollar edges up ahead of Fed; Bitcoin futures seize the spotlight

* Chicago bitcoin futures launch at premium to Bitstamp

* Consensus that Fed will hike this week; ECB, BoE seen standing pat

* Sterling steadies but off post-Brexit accord highs

By Lisa Twaronite

TOKYO, Dec 11 (Reuters) - The dollar was steady in early Asian trade on Monday, underpinned by expectations of higher U.S. interest rates, while bitcoin seized the spotlight as futures of the cryptocurrency began trading.

U.S. employment data on Friday showed a bigger rise in jobs than expected in November, but the dollar's gains were capped by disappointing wage data that analysts said could weigh on the pace of interest rate hikes next year. was up 1.2 percent at $14,819.05 BTC=BTSP on the Luxembourg-based Bitstamp exchange.

The first bitcoin futures 0#XBT: began trading at 6 p.m. (2300 GMT) on CBOE Global Markets Inc's CBOE.O CBOE Futures Exchange. The futures are cash-settled contracts based on the auction price of bitcoin in U.S. dollars on the Gemini Exchange, which is owned and operated by virtual currency entrepreneurs Cameron and Tyler Winklevoss. most-traded futures contract opened at $15,460, then leapt to a high of $16,660 and last stood at $15,860.The dollar index, which tracks the greenback against a basket of six major rival currencies, was steady at 93.885 .DXY .

The U.S. Federal Reserve is widely expected to raise interest rates at its two-day policy meeting that will end on Wednesday, and is seen as likely to tighten two or three times in 2018. But still-sluggish inflation has clouded the policy outlook.

"There is a consensus that the Fed will hike this week, so what investors are most interested in is any clue as to what it will do next year, and the pace of interest rate increases," said Yutaka Miura, a senior technical analyst at Mizuho Securities in Tokyo.

Against its Japanese counterpart, the dollar edged up 0.1 percent to 113.56 yen JPY= , probing levels last touched in mid-November.

The Bank of England and the European Central Bank will also meet this week and are expected to hold rates steady.

The euro inched slightly lower to $1.1770 EUR= but was holding above its nearly three-week low of $1.1730 plumbed on Friday.

Sterling was up 0.1 percent at $1.3390 GBP= but well off Friday's high of $1.3521 hit as after a breakthrough in Brexit negotiations. With the UK economy still facing headwinds, market participants locked in gains.

Britain and the European Union reached an accord on Friday that paves the way for talks on future trade ties, easing immediate pressure on Prime Minister Theresa May and raising investors' hopes for an orderly Brexit. will hail "a new sense of optimism" in Brexit talks on Monday, telling parliament Britain and the European Union should sign off on a deal at a summit this week "to move forwards together" to discuss future trade ties.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.