The US dollar was under pressure from poor macroeconomic indicators lately, and the Thursday’s session was not an exception. While not all of the reports were bad, most of them were not as good as market participants had expected, driving the greenback further down.
With housing starts and building permits missing expectations and jobless claims rising more than was predicted, the dollar had no shortage of reasons to drop. The better-than-expected Philadelphia Fed manufacturing index did not help the matter much. As for Wednesday’s data, virtually all reports were disappointing.
Despite the short-term downtrend, the US currency has chances to bounce. Prospects for an interest rate hike from the Federal Reserve and quantitative easing from the European Central Bank remain major bullish factors for the greenback.
EUR/USD went up from 1.0683 to 1.0764 as of 21:30 GMT today. GBP/USD gained from 1.4839 to 1.4936 while USD/JPY edged down from 119.13 to 119.00.
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