Asian session review: the US dollar rose against most currencies

During today's Asian trading, the US dollar rose against most major currencies.

The ICE index, which tracks the dollar's performance against six currencies (euro, swiss franc, yen, canadian dollar, pound sterling and swedish krona), rose 0.36% to 91.47 points, the highest level in the last two months.

According to analysts, "hawkish" signals from the last meeting of the US Federal Reserve System (Fed), which ended on Wednesday, contributed to the strengthening of the dollar.

The Fed kept the interest rate in the range of 0% to 0.25% at the end of the June meeting. The Fed also said it will continue to buy back $120 billion worth of assets each month " until significant progress is made towards the goals of maximum employment and price stability." These decisions coincided with the forecasts of economists and market participants.

Meanwhile, the Fed raised its forecast for GDP growth in 2021 to 7% from the 6.5% expected in March. At the same time, the dot plot showed that 7 of the 18 Fed leaders do not rule out a rate hike in 2022. The majority - 13 people - are waiting for an increase in rates in 2023.

Fed Chairman Jerome Powell was more upbeat about the economic outlook during a press conference than he was just a few months ago, saying that "we will soon find ourselves in a very strong labor market." However, he cautioned that the Fed would not rush to raise interest rates.