The U.S. dollar continued its decline against major currencies on Thursday, as expectations grew that the Federal Reserve would cut interest rates and concerns mounted over the influence of partisan politics on key American institutions.
اضافة اعلان
Markets are now anticipating the release of initial jobless claims data, following last week's disappointing non-farm payroll figures that weighed heavily on the dollar.
Meanwhile, the euro received a boost ahead of anticipated talks next week aimed at ending the war between Russia and Ukraine. The British pound remained steady ahead of the Bank of England’s monetary policy announcement, with markets widely expecting another interest rate cut.
Last week, President Donald Trump dismissed the official responsible for labor data, which he disapproved of. Attention has now shifted to his nominations to fill an upcoming vacancy on the Federal Reserve Board of Governors, as well as candidates for the next Fed Chair.
“All of this points to increasing political risks surrounding the U.S. dollar,” said Tony Sycamore, market analyst at IG. “And on top of that, we have weak data coming in.”
He added that any progress toward ending the war in Ukraine “would be a positive driver for the euro.”
The U.S. dollar index, which measures the currency’s performance against a basket of six major counterparts, held steady at 98.133 after falling 0.6% in the previous session.
The greenback was little changed against the Japanese yen, trading at 147.35 yen. The euro rose 0.1% to $1.1671.
