©Reuters. Euro falls after rallying on Powell’s comments
Frankfurt (Germany), May 5 (.).- The euro appreciated after the chairman of the Federal Reserve (Fed), Jerome Powell, ruled out an interest rate hike of 75 basis points, but fell again when the yield on the ten-year US Treasury debt will exceed 3%.
The euro was trading at $1.0533 by 3pm GMT, versus $1.0550 in late European forex trading the previous day.
The European Central Bank (ECB) set the reference exchange rate for the euro at 1.0568 dollars.
The dollar also advanced after the Bank of England raised interest rates in the United Kingdom from 0.75% to 1% on Thursday, their highest level in 13 years, in order to combat rising inflation.
It also benefits from widespread risk aversion in the markets.
The single currency was traded in a trading band between 1.0536 and 1.0642.
