Summary:
The dollar stayed stable ahead of next week's inflation data. The Swiss franc was strong at 0.9085, reflecting a labor market recovery.
EBC Forex Snapshot, 9 May 2024
The dollar held mostly steady on Thursday as traders kept their powder dry before next week's inflation data, while the Swiss franc traded on a strong note around 0.9085 due to signs of recovery in the labour market.
Switzerland's jobless rate was reported at 2.3% in April, the lowest rate since Dec 2023, the latest data showed on Tuesday. The consumer price index accelerated to 1.4% last month following the SNB's rate cut in March.
Weak US job growth have markets increasing bets for two rate cuts this year. Fed Bank of Boston President Susan Collins said overnight that the US economy needs to cool to return inflation back to target.
| Citi (as of 6 May) | HSBC (as of 9 May) | |||
| support | resistance | support | resistance | |
| EUR/USD | 1.0601 | 1.0885 | 1.0632 | 1.0835 |
| GBP/USD | 1.2300 | 1.2709 | 1.2317 | 1.2654 |
| USD/CHF | 0.8999 | 0.9244 | 0.8980 | 0.9199 |
| AUD/USD | 0.6443 | 0.6668 | 0.6410 | 0.6697 |
| USD/CAD | 1.3478 | 1.3846 | 1.3617 | 1.3813 |
| USD/JPY | 151.86 | 157.68 | 151.54 | 159.72 |
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.
2024-10-14
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.
2024-10-10
