The dollar traded 0.2 percent from a six-week high against the euro amid signs the U.S. economic recovery is gaining traction, adding to the case for the Federal Reserve to scale back stimulus this month.
The Bloomberg U.S. Dollar Index was near the highest since July before the Fed releases its outlook survey known as the Beige Book, while data later this week may show August payrolls rose by 180,000. Australia’s currency climbed against its major peers after the nation’s economic growth quickened. The pound was near a three-month high against the euro.
“The dollar is more likely to rise in the medium to long term,” said Yujiro Goto, a senior currency strategist at Nomura International Plc in London. “Should we continue to see nonfarm payrolls increase by about 150,000 to 160,000, the likelihood of a September tapering of Fed easing will remain intact.”
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.
Latest posts by marketpulsefxstaff (see all)
- Oil Remains Near Multi-Month Lows - 6 August 2015
- U.S. Dollar Higher on Recent Data - 6 August 2015
- Greece’s PM Tsipras: Loan Deal with Lenders Close - 6 August 2015