Dollar Finds Support Ahead of U.S. Data and GDP; SNB Leaves RateDollar Finds Support Ahead of U.S. Data and GDP; SNB Leaves Rates Unchanged
The U.S. dollar stayed strong this week as traders waited for important U.S. jobless claims and GDP numbers that could guide the Federal Reserve’s next decision.
On Thursday morning, the Dollar Index traded near 97.55 after touching a two-week high on Wednesday. The move came after Fed Chair Jerome Powell said the central bank faces a “challenging situation” as it tries to balance high inflation with a weak job market.
Key U.S. Data in Focus
Jobless claims due later today are expected to show around 230k, suggesting the labor market is still strong.
GDP figures and PCE inflation data later this week will give more signals about economic strength.
Several Fed officials are also speaking this week, which could move markets.
Analysts say if jobless claims remain low, the dollar could get stronger because it means the Fed may delay more rate cuts.
Europe and Switzerland
In Europe, EUR/USD stayed flat near 1.1738. Analysts warn a fall below 1.1725 could push the pair down toward 1.1660.
The Swiss National Bank (SNB) kept its interest rate at zero, stopping a series of seven straight cuts. After the news, USD/CHF edged up to 0.7958.
Asia Updates
USD/JPY slipped 0.1% to 148.69 after strong gains the previous day.
BoJ minutes showed some members want to consider raising rates in the future.
AUD/USD rose 0.2% to 0.6592 after Australian inflation came in higher than expected.
Outlook
The dollar remains supported as traders balance U.S. economic strength with Fed policy expectations. For now, the focus is on today’s jobless claims and GDP data, which could set the next move for the dollar.
✍️ By Md Golam Rabbani
