Summary:
The dollar fell over 2% in August, its biggest drop this year, offering some relief to economies strained by earlier dollar strength.
EBC Forex Snapshot, 3 Sep 2024
The dollar fell more than 2% in August, marking its biggest monthly drop this year and providing some relief to economies that have suffered under the weight of dollar strength.
Speculative traders turned bearish on the dollar for the first time since February as the Fed looks set to kick off its easing cycle in September. The US could face a prolonged slowdown in 2025, abdrn said.
Canadian dollar just notched biggest monthly advance this year as risk-on mood helped push oil prices higher. The economy grew at an annualised rate of 2.1% in Q2, beating estimates for a gain of 1.6%.
| Citi (as of 26 Aug) | HSBC (as of 3 Sep) | |||
| support | resistance | support | resistance | |
| EUR/USD | 1.0819 | 1.1276 | 1.0946 | 1.1199 |
| GBP/USD | 1.2860 | 1.3230 | 1.3373 | 1.3673 |
| USD/CHF | 0.8333 | 0.8827 | 0.8359 | 0.8709 |
| AUD/USD | 0.6615 | 0.6799 | 0.6632 | 0.6886 |
| USD/CAD | 1.3478 | 1.3792 | 1.3372 | 1.3681 |
| USD/JPY | 141.70 | 149.35 | 143.76 | 149.72 |
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.
Disclaimer: This material is for general information purposes only and is not intended as (and should not be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by EBC or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.
The dollar held gains and rose slightly in Asia Monday as Japan's holiday cut liquidity, focusing attention on China's disappointing stimulus.
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The US dollar dipped from a two-month high but is set for a second consecutive weekly gain as weak labor market signals support faster Fed rate cuts.
2024-10-11
The US hovered near a two-month high on Thursday as markets grew confident in the Fed's patient monetary policy ahead of a key inflation report.
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