US Dollar Weakens Against Major Currencies Ahead of Data Release

The US dollar declined against its major trading partners early Thursday, except for a small uptick versus the yen, ahead of the release of weekly jobless claims and international trade data for February.

The market is expecting weekly natural gas stocks and an update to the Atlanta Federal Reserve’s gross domestic product Nowcast estimate.

The schedule of speeches from Fed officials remains full, with Richmond Fed President Tom Barkin due to speak Thursday, followed by Chicago Fed President Austan Goolsbee.

All vote on the Federal Open Market Committee this year except Goolsbee, who votes next in 2025.

On Wednesday, Fed Chairman Jerome Powell and Kugler both reinforced that the FOMC can be patient and wait for further evidence of slowing inflation before lowering interest rates.

Meanwhile l, Atlanta Fed President Raphael Bostic, a voter on the FOMC this year, repeated that he expects only one rate cut this year, likely in Q4.  Naira Devaluation Deepens Economic Crisis in Nigeria

A quick summary of foreign exchange activity heading into Thursday showed that USDEUR

 rose to 1.0860 from 1.0836 at the Wednesday US close and 1.0776 at the same time Wednesday morning.

The Eurozone’s services purchasing managers’ index rose modestly in March, indicating faster expansion, while producer prices declined in February, data released earlier Thursday showed. The next European Central Bank meeting is scheduled for April 11.

GBPUSD rose to 1.2658 from 1.2653 at the Wednesday US close and 1.2578 at the same time Wednesday morning.

UK services PMI fell modestly in March but remained above the breakeven point that indicates expansion, data released Thursday showed. The next Bank of England meeting is scheduled for May 9.

USDJPY rose to 151.6994 from 151.6978 at the Wednesday US close but was below a level of 151.7118 at the same time Wednesday morning. No Japanese data were released overnight. The next Bank of Japan meeting is scheduled for April 25-26.

USDCAD fell to 1.3500 from 1.3527 at the Wednesday US close and 1.3572 at the same time Wednesday morning. Canadian international trade data for February are due to be released.  The next Bank of Canada meeting is set for April 10.

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