The U.S. dollar strengthened this year, gaining 7 percent against other major world currencies. Meanwhile, Japan's money continued to weaken.
Money traders think America's solid growth will make its central bank slow to cut rates in 2025. The dollar rose to 108.06 against its rivals. It climbed more than 6 percent this year.
The dollar did very well against Japan's yen. It went up almost 12 percent in 2024. The European euro fell to its lowest point in two years.
Jerome Powell, who runs America's central bank, wants to be careful about rate cuts. The bank plans one small cut next. Donald Trump's win as president adds new twists. His plans for taxes and trade could raise prices.
Banks around the world see things differently. Japan keeps its rates low, Europe plans big rate cuts as its business slows down, and money markets expect U.S. rates to stay high until summer.
Japan's bank chief, Kazuo Ueda, wants to wait. He needs to see what Trump will do about world trade. Right here, the yen trades at 157.75 per dollar. The euro sits at $1.042.
World stocks stayed strong through all this. The global share index rose 1.5 percent this week. America's main stock measure gained 1.8 percent. Asian stocks went up. Europe's stayed flat.
Money experts say stocks might change soon. Traders coming back from the holidays might worry about rising U.S. prices under Trump. "Markets might rise a bit more," said Luca Paolini from Pictet. "But Trump's first day could change things."
U.S. loan rates hit their highest mark since May. The ten-year rate reached 4.611 percent, pushing up rates in Europe. Germany's rate rose to 2.392 percent.
Gold shone bright this year. It went up 27 percent, its best showing since 2011. People bought it to feel safe from world troubles. Oil prices rose as traders watched China, the biggest oil buyer. Oil reached $73.78 per barrel.
Money traders think America's solid growth will make its central bank slow to cut rates in 2025. The dollar rose to 108.06 against its rivals. It climbed more than 6 percent this year.
The dollar did very well against Japan's yen. It went up almost 12 percent in 2024. The European euro fell to its lowest point in two years.
Jerome Powell, who runs America's central bank, wants to be careful about rate cuts. The bank plans one small cut next. Donald Trump's win as president adds new twists. His plans for taxes and trade could raise prices.
Banks around the world see things differently. Japan keeps its rates low, Europe plans big rate cuts as its business slows down, and money markets expect U.S. rates to stay high until summer.
Japan's bank chief, Kazuo Ueda, wants to wait. He needs to see what Trump will do about world trade. Right here, the yen trades at 157.75 per dollar. The euro sits at $1.042.
World stocks stayed strong through all this. The global share index rose 1.5 percent this week. America's main stock measure gained 1.8 percent. Asian stocks went up. Europe's stayed flat.
Money experts say stocks might change soon. Traders coming back from the holidays might worry about rising U.S. prices under Trump. "Markets might rise a bit more," said Luca Paolini from Pictet. "But Trump's first day could change things."
U.S. loan rates hit their highest mark since May. The ten-year rate reached 4.611 percent, pushing up rates in Europe. Germany's rate rose to 2.392 percent.
Gold shone bright this year. It went up 27 percent, its best showing since 2011. People bought it to feel safe from world troubles. Oil prices rose as traders watched China, the biggest oil buyer. Oil reached $73.78 per barrel.
