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Forex - Dollar little changed vs. rivals, U.S. data ahead

Published 02/09/2017, 05:25 AM
© Reuters.  Dollar holds steady amid political uncertainty concerns
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Investing.com - The dollar was little changed against other major currencies on Thursday, as political uncertainty in the U.S. and Europe persisted and investors eyed the release of U.S. jobless claims data due later in the day.

EUR/USD held steady at 1.0697.

The euro remained under pressure amid concerns over the possibility of a Brexit or Trump-style shock result in France’s upcoming presidential election.

Worries over elections in the Netherlands, Germany and possibly Italy, as well as the ongoing row over Greece's bailout added to concerns over political risk in the euro area.

Meanwhile, sentiment on the greenback was also vulnerable amid concerns over U.S. President Donald Trump's protectionist stance and recent hints from the new administration that it would prefer a weaker dollar.

Elsewhere, GBP/USD edged up 0.15% to trade at 1.2559.

USD/JPY rose 0.28% to 112.26, while USD/CHF held steady at 0.9953.

The Australian dollar was higher, with AUD/USD up 0.12% at 0.7654, while NZD/USD dropped 0.59% to 0.7221.

In a widely expected move, the Reserve Bank of New Zealand held the benchmark interest rate at a record-low 1.75% at the end of its policy meeting on Thursday.

Commenting on the decision, RBNZ Governor Graemme Wheeler said any tightening in monetary policy might be at least two years away, adding "we're happy with the track that we have."

Also Thursday, the National Australia Bank said its business confidence index ticked down to 5 in the fourth quarter from a reading of 6 in the third quarter, whose figure was revised from a previously estimated reading of 5.

Meanwhile, USD/CAD slipped 0.16% to trade at 1.3123.

The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was little changed at 100.57, just off Tuesday’s one-week high of 100.69.

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