FOREX-US dollar slips from 1 year high on weak data, consolidation
Band Gertrude Chavez-Dreyfuss
NEW YORK, September 30 (Reuters) – The dollar edged down from a one-year high on Thursday in choppy trading, slightly under pressure from an increase in weekly jobless claims in the United States, as investors also consolidated their gains after a sharp rise in price of the last sessions.
Overall, the greenback has been supported by the surge in yields on US Treasuries, as the Federal Reserve expects its monetary stimulus to wane from November even as global growth slows.
Thursday’s economic data, however, took some of the dollar’s strength.
Initial jobless claims in the United States rose for the third week in a row to 362,000 for the period ending Sept. 25, data showed. Economists polled by Reuters predicted 335,000 jobless applicants for the past week.
That said, another report confirmed that U.S. economic growth accelerated in the second quarter, at a rate of 6.7%, thanks to the government’s pandemic relief money, which boosted spending by the government. consumption.
“Even if the US dollar falls a little more in the near term, we expect it to resume its recent rally in due course,” wrote Joseph Marlow, deputy economist at Capital Economics, in a research note.
“While long-term yields have risen in most major economies, US bond yields have risen more than most and, most importantly, have been largely due to higher real yields, reflecting expectations of a tighter monetary policy. “
The dollar index = USD, which measures the currency against a basket of six rivals, hit 94.504, its highest level since September 28 last year. It was down 0.2% for the last time to 94.199.
For the month, the dollar ended up 1.7%, its second consecutive monthly gain. In the third quarter, the dollar appreciated by 2%.
Marc Chandler, chief market strategist at Bannockburn Forex, wrote in a research note that “a tone of consolidation is evident” after the dollar surge on Wednesday.
The dollar’s recent gains came despite a political stalemate in Washington over the US debt ceiling that threatens to shut down much of government.
10-year Treasury benchmark returns US10YT = RR stood at 1.524%, standing near a three-month high reached on Tuesday of 1.567%.
The dollar reached 112.07 yen JPY = EBS, the highest since February 2020. It was last down 0.5% to 111.36 yen, its biggest daily percentage drop since mid-August.
For the month of September, however, the dollar posted a gain of 1.2% against the yen, and a more modest increase of 0.4% for the third quarter.
The euro EUR = EBS was down 0.1% to $ 1.1586, after hitting $ 1.1563 previously, its lowest since July 2020.
The single European currency was down 1.9% against the dollar for the month and 2.2% weaker for the third quarter.
The risk-sensitive Australian dollar AUD = D3 firmed 0.8% to US $ 0.7232, after falling 0.9% overnight, as iron ore prices rebounded ahead of the Golden Week holiday in the main destination trade from Australia, China.
A slight improvement in overall risk sentiment after gloomy days has been seen in cryptocurrency markets, such as bitcoin BTC = BTSP rose 5.7 %% to $ 43,929 and the ether ETH = BTSP rebounded 6.2% to $ 3,028. Both coins are down between 20% and 27% from their September peaks.
Currency bid price at 3:20 p.m. (1920 GMT)
US Close previous session
Percentage change for the current year
EUR = EBS
+ $ 1.1610
Dollar / Yen
JPY = EBS
Euro / yen
Dollar / Switzerland
CHF = EBS
Pound sterling / dollar
GBP = D3
CAD = D3
Australia / Dollar
AUD = D3
+ $ 0.7257
+ $ 0.7176
Euro / Switzerland
Euro / Pound
New Zealand dollar / Dollar
NZD = D3
+ $ 0.6921
+ $ 0.6860
Dollar / Norway
NOK = D3
Euro / Norway
Dollar / Sweden
Euro / Sweden
Global exchange rateshttps://tmsnrt.rs/2RBWI5E
(Reporting by Gertrude Chavez-Dreyfuss; Additional reporting by Ritvik Carvalho in London; Editing by William Maclean, Hugh Lawson and Jonathan Oatis)
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