Cyber Monday Deal: Up to 60% off InvestingProCLAIM SALE

Dollar pushes higher vs. euro ahead of ECB

Published 05/02/2013, 04:05 AM
EUR/USD
-
GBP/USD
-
USD/JPY
-
USD/CHF
-
AUD/USD
-
USD/CAD
-
NZD/USD
-
Investing.com - The dollar was higher against the euro on Thursday as investors awaited the outcome of a European Central Bank meeting later in the day amid expectations for a rate cut.

During European morning trade, the dollar pushed higher against the euro, with EUR/USD sliding 0.13% to 1.3161.

Speculation over a rate cut intensified after recent weak economic data indicated that the economic outlook for the euro zone was deteriorating.

Data on Tuesday showed that euro zone unemployment rose to a record 12.1% in March while another report showed that inflation fell more-than-expected in April.

The dollar was steady near two-and-a-half month lows against the pound, with GBP/USD edging up 0.04% to 1.5560.

The dollar slipped lower against the yen, with USD/JPY losing 0.16% to trade at 97.22.

The dollar remained under pressure after ADP nonfarm payrolls data on Wednesday showed that the U.S. private sector added 119,000 jobs in April, well below expectations for an increase of 150,000.

A separate report showed that growth in the U.S. manufacturing sector slowed in April.

The Federal Reserve recommitted to its USD85 billion a month asset purchase program following Wednesday’s policy meeting and indicated that it could increase or decrease the monthly amount, depending on the outlook for inflation and employment.

The dollar edged higher against the Swiss franc, with USD/CHF rising 0.16% to 0.9286.

The Swiss SVME manufacturing purchasing managers’ index rose to 50.2 in April from 48.3 in March, above expectations for a reading of 49.0.

The greenback was broadly higher against its Australian, New Zealand and Canadian counterparts, with AUD/USD down 0.43% to 1.0231, NZD/USD falling 0.31% to 0.8472 and USD/CAD inching up 0.03% to 1.0084.

The Australian dollar weakened after official data showed that domestic building approvals fell 5.5% in March, undermining the view that lower interest rates were boosting the housing sector.

Elsewhere, the final reading of China’s HSBC manufacturing purchasing managers' index dropped to 50.4 in April from 51.6 in March and slightly lower than the preliminary reading of 50.5, as new export orders fell.

The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, eased up 0.12% to 81.75.

The U.S. was to publish the weekly government report on initial jobless claims and official data on the trade balance later in the trading day.



Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.