Trading Conditions
Products
Tools
The U.S. dollar was lower against its major counterparts during the European session on Thursday, as a bigger than expected slowdown in consumer inflation strengthened expectations that the Federal Reserve's hiking cycle may be nearing its end.
U.S. inflation eased to 5 percent in March, below expectations of 5.2 percent, and down from 6.0 percent in February.
The minutes from the Federal Reserve's March meeting showed that several policymakers favoured pausing rate increases to determine the effects of the banking sector turmoil.
However, they consequently decided it would be appropriate to raise interest rates by another 25 basis points in light of elevated inflation and the strength of the recent economic data.
Markets are pricing in a 66.5% chance that the Fed will raise rates by another 25 basis points at its May 2-3 meeting.
U.S. produce price index and weekly jobless claims numbers are due out later today, while retail sales data is scheduled for release on Friday.
The greenback touched 0.8900 against franc, its lowest level since February 2021. If the greenback drops further, it may find support around the 0.87 area.
The greenback dropped to more than a 2-month low of 1.1025 against the euro and a 9-day low of 1.2525 against the pound, from its early highs of 1.0976 and 1.2477, respectively. The next possible support for the greenback is seen around 1.12 against the euro and 1.27 against the pound.
The greenback weakened to an 8-day low of 0.6735 against the aussie, 3-day low of 0.6244 against the kiwi and near a 2-month low of 1.3393 against the loonie, off its early highs of 0.6685, 0.6203 and 1.3448, respectively. The greenback is seen finding support around 0.69 against the aussie, 0.64 against the kiwi and 1.30 against the loonie.
The greenback reversed from an early high of 133.37 against the yen and edged down to 132.89. The greenback is likely to challenge support around the 121.00 level.
U.S. PPI for March and weekly jobless claims data are due in the New York session.
We may place cookies for analysis of our visitor data, to improve our website and measure advertising performance. Overall this data is used to provide a better website experience. More information
Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of Instant Trading EU Ltd including online trading, online transfers, deposit/withdrawal of funds, etc.
If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.
Why does your IP address show your location as the USA?
Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.
We are sorry for any inconvenience caused by this message.