Dollar at Highest in Three Weeks on Strong US Data
A Bloomberg gauge of the dollar rose to the highest in three weeks as jobless claims and second-quarter growth data signaled resilient economic expansion in the US. The franc extended losses seen after the Swiss National Bank kept their benchmark at zero.
The Bloomberg Dollar Spot Index up 0.6% to strongest mark since Sept. 3; greenback gains against all of its Group-of-10 peers
Initial jobless claims were 218k in week through Sept. 20 (233k expected); continuing claims were 1.926m (1.932m expected)
Revised Q2 GDP growth was 3.8% annnualized (3.3% expected); personal consumption was 2.5% (1.7% expected)
Month-end flows are also in focus while volumes remain below recent averages, despite a pick up in hedge funds’ orders: traders.
Packed slate of Fed speakers Thursday included remarks from Miran, Goolsbee, Williams, Logan, and Bowman, among others.
EUR/USD falls as much as 0.8% to 1.1646 day’s low, sharpest intraday drop since Sept. 2
Risk-off bolsters dollar demand and weighs on common currency as headlines flash that European diplomats warned the Kremlin this week that NATO is prepared to shoot down any Russian planes that violate the region’s airspace
USD/CHF falls 0.7% to 0.8005 even as SNB halts easing cycle, forgoing a move to negative rates and playing down the broader impact of US tariffs
USD/JPY rises 0.6% to 149.86. approaching key 150 mark for first time since Aug. 1
The Bank of Japan’s meeting minutes show that one member of the board said the bank shouldn’t be overly cautious and risk missing an opportunity to raise interest rates.
Source : Bloomberg.com
