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Dollar extends losses vs. rivals after U.S. data

Published 09/24/2015, 08:46 AM
Dollar pushes broadly lower as Yellen speech approaches
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Investing.com - The dollar extended losses against the other major currencies on Thursday, after the release of mixed U.S. economic reports, as sentiment on the greenback remained fragile ahead of a speech by Federal Reserve Chair Janet Yellen due later in the day.

The dollar pushed lower against the yen, with USD/JPY down 0.70% at 119.41.

The U.S. Department of Labor reported that the number of individuals filing for initial jobless benefits in the week ending September 19 increased by 3,000 to 267,000 from the previous week’s total of 264,000, compared to expectations for a 7,000 rise.

Separately, the U.S. Commerce Department said that total durable goods orders decreased by 2.0% last month, matching forecasts. Orders for durable goods in July were revised to a gain of 1.9% from a previously reported increase of 2.2%.

Core durable goods orders, which exclude volatile transportation items, were flat in September, compared to expectations for an increase of 0.1%. Core durable goods orders rose 0.4% in July.

Investors were looking ahead to a speech by Fed Chair Janet Yellen later Thursday for additional clarity on the bank’s decision last week to leave interest rates on hold.

EUR/USD climbed 0.58% to 1.1253.

The German research institute Ifo earlier reported that its business climate index ticked up to 108.5 this month from August’s 108.4. It was the highest reading in four months and was ahead of forecasts of 108.0.

The single currency also remained supported after European Central Bank President Mario Draghi said on Wednesday that it was too early decide whether or not to add stimulus measures.

Elsewhere, the dollar was higher against the pound, with GBP/USD down 0.17% at 1.5221 but lower against the Swiss franc, with USD/CHF declining 0.86% to 0.9714.

The Australian dollar remained lower, with AUD/USD retreating 0.69% to 0.6960, while NZD/USD rose 0.29% to 0.6296.

Earlier Thursday, Statistics New Zealand reported that the country's trade deficit widened to NZ$1,035 million in August from NZ$649 million the previous month. Analysts had expected the trade deficit to widen to NZ$850 million last month.

USD/CAD advanced 0.57% to trade at 1.3397.

The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was down 0.44% at 95.97, off one-month highs of 96.65 reached on Wednesday.

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