Reported 12 months ago
On July 1, 2024, the New Taiwan dollar started with a slight depreciation but closed at 32.546 yuan, down by 9.6 points. The release of the May Personal Consumption Expenditures (PCE) report in the US showed a slowdown in inflation, increasing the likelihood of the Fed cutting rates early, leading to fluctuations in the US dollar index and varied movements in non-US currencies. Despite a positive opening in the Taiwan stock market, heavy foreign and investment fund selling led to the New Taiwan dollar depreciating throughout the day. The market traded around 19.385 billion USD, with the New Taiwan dollar almost revisiting the low point of June at 32.554 yuan. Experts suggest that if the Fed starts rate cuts in September as expected, the international US dollar may weaken, limited by the influence of the presidential election at the year end. The key factor affecting the exchange rate is whether the Taiwan stock market can continue its upward trend, with many tech products set to be released in the third quarter and summer-themed topics gradually gaining traction, potentially triggering a capital rally. In the short term, the New Taiwan dollar is expected to fluctuate between 32.3 and 32.55. The US dollar index fell by 0.34%, the euro rose by 0.54%, while Asian currencies experienced mixed movements, with the Korean won marking the largest depreciation at 0.35%, the New Taiwan dollar depreciating by 0.29%, the Japanese yen by 0.05%, and the Chinese yuan by 0.03%.
Source: YAHOO