Wednesday saw the dollar rise as the Fed might delay rate cuts. The Aussie dollar stayed flat after strong inflation data.
EBC Forex Snapshot, 29 May 2024
The dollar was bolstered on Wednesday by rising expectations the Fed is unlikely to cut rates until later this year. The Australian dollar was little changed following a strong inflation report.
Data showed US consumer confidence unexpectedly improved in May after deteriorating for three straight months. A rate cut in September is now priced in at 44%, the CME Fed Watch tool showed.
Australian CPI unexpectedly rose to a five-month high in April, adding to risks the next move in interest rates might be upward. The most significant contributor to the rise was housing.
Citi (as of 27 May) | HSBC (as of 29 May) | |||
support | resistance | support | resistance | |
EUR/USD | 1.0793 | 1.0895 | 1.0753 | 1.0925 |
GBP/USD | 1.2300 | 1.2803 | 1.2535 | 1.2892 |
USD/CHF | 0.8988 | 0.9244 | 0.9020 | 0.9193 |
AUD/USD | 0.6563 | 0.6729 | 0.6569 | 0.6720 |
USD/CAD | 1.3478 | 1.3846 | 1.3574 | 1.3730 |
USD/JPY | 152.12 | 157.68 | 154.69 | 158.52 |
The green numbers in the table indicate that the data has increased compared with the previous time; the red numbers indicate that the data has decreased compared with the previous time; and the black numbers indicate that the data has remained unchanged.
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On Friday, the US dollar fell to a one-week low as mixed job market signals emerged before key payroll data likely to influence Fed policy.
2024-09-06The dollar fell Thursday on US economic worries, with the yen rising on safe-haven demand. Traders see a 44% chance of a 50-bp cut this month.
2024-09-05Safe-haven currencies surged Wednesday as Wall Street and Asian stocks fell sharply, leading to losses in commodity currencies.
2024-09-04