The US dollar hit its lowest level in three years against a basket of currencies today, as the dollar index fell below 90 levels for the first time since December 2014 to 89.39. This come amid concerns about the protectionist policies that Trump is expected to talk about in a speech at the World Economic Forum in Davos this week.
The EURUSD hit its highest level in three years at 1.2355, while the GBPUSD rose to its highest level since the vote on Brexit at 1.4117. The USDJPY fell below the 110 level for the first time in four months at 109.50 levels.
Markets are awaiting tomorrow's ECB's decision to hear new hints on the monetary stimulus program as the euro zone's noticeable economic recovery is just waiting for sustainability in growth of inflation. The bank cut its bond purchases to 30 billion euros a month at the October meeting.
Also, later this evening, inflation data in New Zealand will be released and it is expected that consumer price index will rise by 1.9% on yearly basis in the fourth quarter of 2017 and by 0.4% on quarterly basis.
