Fed may raise US dollar today

Baku. 3 May. REPORT.AZ/ The next session of US Federal Reserve System (Fed) ends today.

Analytical Group of Report News Agency informs, though increase in interest rates not expected during the meeting, signals given on increase in rates at the next session in June, can strengthen the US dollar.

Moody's International Rating Agency Director Ryan Sweet believes, Fed will not take into account poor performance of the US economy in the first quarter of 2017: “Taking into account that there are 6 weeks left to the next meeting, I do not think the Fed has exactly something to say”.

The director also said that the Fed will most likely increase interest rates in June because it doesn’t like making surprises. Notably, the probability of increase in discount rate in June estimated at the 70% in global markets.

Analytical Group of Report states that, any hint on increase of discount rate in June at today's meeting will lead to an increase in the dollar rate on the global foreign exchange market. In this case, the main currency pairs - euro/dollar exchange rate can decline to 1.08 USD/EUR.