US dollar index bounces and ends day higher
The US dollar finished with gains across the board and lower versus the euro. The European currency rose in the market after the ECB left the purchase program unchanged and particularly following Draghi’s comments that no extension in the QE program was discussed.
EUR/USD jumped above 1.1300 after the ECB but then pulled back and erased all gains but still was about to end the day higher, around 1.1255. After the press conference the US dollar gained momentum in the market and turned higher.
The US Dollar index, which gauges the US dollar against its main competitors, bottomed at 94.40, the lowest level since August 26 and then bounced to the upside, erasing losses and even broke Wednesday’s highs. The DXY peaked at 95.08, where the 20-day simple moving average stands and then pulled back modestly. Near the end of the day it was hovering around 95.00, up 0.09% for the day.
Economic data on Thursday in the US, included a higher-than-expected decline in initial jobless claim data to 2-month lows. On Friday, attention would be on Fed’s Rosengren speech and wholesale inventories. Before, on Asian hours investors will take a look at Chinese trade data.
Author
Matías Salord
FXStreet
Matías started in financial markets in 2008, after graduating in Economics. He was trained in chart analysis and then became an educator. He also studied Journalism. He started writing analyses for specialized websites before joining FXStreet.
