A better than expected figure from the US: 282K jobless claims, lower than 291K predicted. This sends the 4 week moving average below 300K to 297K, after long weeks above this level. Continued claims stand at 2.416 million, similar to previous number.
The USD is slightly stronger after the release, but nothing earth shattering. EUR/USD is still around 1.10, showing indecision. GBP/USD remains shy of 1.50. USD/JPY is still under 119, but ticking up from the lows.
USD/CAD is standing out by trading significantly lower than recent ranges. That’s thanks to a surge in oil prices resulting from the war in Yemen.
US jobless claims were expected to remain unchanged at 291K for another week.
The US dollar was still trying to find a base towards the publication as the correction continues.
The losing streak of economic indicators was disrupted by the better than expected inflation numbers and new home sales. However, the awful durable goods orders weighed on the greenback again.
There are still doubts on the timing of the first rate hike and lower expectations for the eventual outcome of the tightening cycle: it will probably end with a lower interest rate than historic peaks.
More: An Uneven USD Pullback; What’s Next? – Credit Suisse
