On Friday, the US dollar rate kept expanding vs the majors. The upward dynamics is driven by the minutes of the Federal Reserve meeting and good economic reports in the USA indicating an optimistic state of the US economy.
According to the data of the US Labor Department, the number of jobless benefits applications decreased by 7,000 to 222,000 over the past week (forecast – 230,000).
The report followed the minutes of the Federal Reserve meeting. As the minutes read, the US Central Bank is considering expansion of economic growth and inflation as reason for a further step-by-step lift of the interest rate.
The US dollar index reached 89.81 (0.15% up).
For reference, the greenback has been lately affected by the forecasts of monetary policy tightening in other countries. As a result, the insiders believed that the gap between the interest rate of Federal Reserve and central banks in other countries might get narrower.
Euro and sterling weakened vs the US dollar reaching 1.2310 and 1.3974 respectively. A similar dynamics were seen in the AUD-USD and NZD-USD pairs – the rates were at 0.7823 and 0.7303.
The yen to US dollar decreased to 106.88 (0.12% down) and the franc – 0.9339 (0.16% down).