After a positive year all round for the US dollar, Wednesday finished the year in a similar fashion by strengthening against the majority of its most traded partners. The dollar did drop against a more positive sterling, but managed to extend its recent two-and-a-half years high against the euro. This came mainly as a result of a weaker euro, but was also helped by the pending home sales figure coming in ahead of expectations.
The unemployment claims and Chicago PMI were both affected by seasonal volatility, coming in behind expectations, but failed to dampen investor’s spirits with continued positivity over interest rate rises stateside, helping the dollar as it had done throughout the latter part of the year. Today starts off 2015 with just the one piece of data of note, which will be the manufacturing PMI from the Institute of Supply Management. As such, a strong showing in this area could help the dollar pick up from where it left off last year.
We recommend calling your trader to find out up-to-date rates – it will be interesting to see if the strong US dollar will continue into the New Year.