DXY sees little movement amid positive data releases
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Daily Currency Update
Despite positive data releases, the US Dollar Index (DXY) has shown little movement so far today, trading near the 100.93 level, a 0.01% increase from yesterday. Among those data releases were the final Gross Domestic Product (GDP) quarter-over-quarter numbers. These numbers, which measure the change in the value of all goods and services produced in the US from one quarter to the next, came in as expected at 3%. Unemployment Claims data was also released, coming in below expectations at 218,000 versus the expected 224,000. This data showed that the number of people out of work and filing for unemployment benefits was below expectations, a positive economic sign. Lastly, monthly Durable Goods Orders and Core Durable Goods Orders both came in higher than expected. Monthly Durable Goods Orders, which is the change in the total value of new purchase orders placed with manufacturers for durable goods, came in at 0% change, versus the expected -2.8% dip. Monthly Core Durable Goods Orders, which excludes transportation items, came in at 0.5%, versus the anticipated 0.1%. The USD was slightly down against the EUR, GBP, and CAD this morning.Key Movers
In Eurozone news, the EUR was up so far this morning against the USD and CAD but falling against the GBP. In data releases, the yearly M3 Money Supply data, which is the change in the total quantity of domestic currency in circulation and deposited in banks, came in higher than expected at 2.9% versus the expected 2.5%. Yearly Private Loans data came in as expected at 0.6%. Neither data releases led to much movement in EUR.The GBP climbed again this morning as stock markets rallied on reports that China is set to introduce additional stimulus measures, building on those announced earlier in the week. This news has been positively received by equity markets globally, as investors anticipate a boost to global economic growth.
The Canadian dollar was up slightly this morning against the USD but dipped against its EUR and GBP counterparts. Crude Oil was down so far today by around 2.67% from yesterday’s levels, trading near 67.83. Despite oil dipping, the CAD has kept its strength against the USD. Markets are looking ahead to the monthly Gross Domestic Product (GDP) data set to be released tomorrow. GDP is expected to increase from 0% to 0.1% month-over-month.
Expected Ranges
- EUR/USD: 1.1125 - 1.1165 ▲
- GBP/USD: 1.3312 - 1.3389 ▲
- AUD/USD: 0.6818 - 0.6888 ▲
- USD/CAD: 1.3457 - 1.3488 ▼