Currency Note US Dollar

US dollar strengthens as December interest rate rise seems likely

By Ricky Bean October 29th, 2015

It was quiet for the US dollar during the day on Wednesday, with minimal data released. Focus was on the US Federal Reserve interest rate decision and the statement that follows and this statement sent the currency markets into overdrive. Not from what it said but from what it omitted. It omitted the caveat about the world economy possibly depressing the US economy which has increased the likelihood of a December interest rate rise which strengthened the US dollar across the board.

Following the interest rate decision and statement yesterday evening, we can look forward to a busy day today, with advance growth figures released in the early afternoon. This is expected to show six months of consecutive growth; any surprises could cause movement in dollar markets. Weekly unemployment claims are also released, and expected to show another positive figure.