Dollar Slides Ahead of GDP, US Fed Chair Comments
The United States (US) dollar declined against its major trading partners early Thursday ahead of the release of an updated estimate for Q2 gross domestic product and the weekly jobless claims report.
The National Association of Realtors pending home index for August is set to be released followed by weekly natural gas stocks and the Kansas City Federal Reserve’s manufacturing reading for September today.
Markets will also be watching for comments from a variety of Fed speakers on Thursday, with Fed Chair Jerome Powell’s comments to teachers the main attraction.
Earlier in the day, Chicago Fed president Austan Goolsbee, a voter on the FOMC this year, is scheduled to speak followed by Fed Governor Lisa Cook and Richmond Fed President Tom Barkin, a voter next in 2024.
A quick summary of foreign exchange activity heading into Thursday showed that USDEUR rose to 1.0533 from 1.0503 at the Wednesday US close but was down from a 1.0559 level at the same time Wednesday morning.
EU consumer confidence declined further into negative territory while business sentiment improved modestly but remained negative, data released earlier Thursday showed. The next European Central Bank meeting is scheduled for Oct. 26.
GBPUSD rose to 1.2191 from 1.2135 at the Wednesday US close and 1.2151 at the same time Wednesday morning. There are no UK data on Thursday’s schedule. The next Bank of England meeting is set for Nov. 2.
USDJPY fell to 149.3235 from 149.6484 at the Wednesday US close but was up from a 149.1874 level at the same time Wednesday morning.
There were no Japanese data released overnight, turning the attention to the scheduled release of retail sales, industrial production and consumer price data on Friday. The next Bank of Japan meeting is scheduled for Oct. 30-31.
USDCAD fell to 1.3494 from 1.3499 at the Wednesday US close and 1.3531 at the same time Wednesday morning. Canada’s average weekly earnings data for July are scheduled to be released. The next Bank of Canada meeting is set for Oct. 25. Naira Devaluation Deepens Economic Crisis in Nigeria
