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© Reuters. The euro advances towards 1.11 dollars, the highest for a year
Frankfurt (Germany), April 14 (.).- The euro maintains its upward trend today and advances towards 1.11 dollars, the highest for a year, due to expectations that the Federal Reserve (Fed) will not raise much more its interest rates and it is close to concluding its upward cycle because inflation subsides in the US.
The euro was trading around 08:00 GMT at $1.1066, compared to $1.1049 in the last hours of European currency market trading the previous day.
Also contributing to the appreciation of the euro for the fourth consecutive trading is the increase in risk tolerance among investors.
The latest US price data, both wholesale and consumer, show inflation easing and underpin expectations that the Fed will raise interest rates for the last time in this bullish cycle in May, on 25 basis points, until federal funds are in the range between 5 and 5.25%.
Markets expect the Fed to lower interest rates by the end of the year.
The European Central Bank (ECB) will raise the price of money in May by 25 basis points, according to analysts.
ECB interest rates are now at 3.5% and the deposit facility at 3%.
The euro was traded today in the early hours of European currency market trading between $1.1049 and $1.1074.
