US Dollar Rebounds, Economic Data Resists Market Pressure
The US dollar index strengthened to 100.6 on Thursday, after weakening in the previous two sessions. This strengthening occurred as investors considered the latest economic data, which continued to demonstrate the resilience of the United States economy.
US retail sales data rose in line with market expectations. Falling gasoline prices did pressure revenues at gas stations, but sales at motor vehicle dealerships and non-store retailers remained solid.
Meanwhile, initial jobless claims fell to a two-month low of 208,000. This data signals that the US labor market remains quite strong, despite earlier concerns about an economic slowdown.
The market is also closely monitoring developments in the Middle East conflict. Oil prices remain near a one-month high after the United States escalated its attacks on Iran. This situation keeps the risk of energy inflation a concern for investors.
In terms of market impact, the US dollar has the potential to remain supported if US economic data continues to be solid and the likelihood of a Fed interest rate hike remains. Currently, the market estimates a 12% chance of a rate hike this month, while the chance of a September hike is around 56%. The greenback also strengthened against the pound sterling and the euro, while high oil prices continued to maintain volatility in global markets. (asd)
Source: Newsmaker.id
