Currency Note US Dollar

US Dollar still in the ascendancy

By Callum Holmes July 30th, 2014

The US Dollar had a strong day today, continuing the good run it has been on for the past month. This was led by gains against Australia, New Zealand, Canada and Europe, hitting multi-month highs against all these currencies. Yesterday was a particularly good day for the US as consumer confidence came out much higher than the original forecast. Expected at 85, it registered at 90.9. This boosted the US dollar, which strengthened against sterling all day.

But will the good news for the dollar be short lived as we have a number of key releases today, tomorrow and Friday? Today we have the US Federal Reserve meeting statement where expectations are for no change in policy. Anything different will be a major shock. We also have data on growth and jobs released today so we can expect some movement for the US dollar during the course of today both in the run up to the data releases as market try to second guess and post when the markets digest the information.