The struggle for the US dollar this week has been plain to see, thanks to weak data releases and a strong sterling pushing the US dollar above 1.50. Monday and Tuesday were relatively quiet days for the US dollar due to a lack of data releases. Some positive data was seen on Wednesday due to increased existing home sales and crude oil inventories, but this which failed to strengthen the US dollar against a strengthening sterling.
Thursday failed to help, and the US economy slowdown was evident with weaker than expected weekly unemployment claims and new home sales plus a slight drop in growth for the manufacturing purchase managers’ index (PMI). The US dollar also weakened against the euro due to signs that negotiations between Greece and its creditors are progressing.
Today will see the release of core durable goods orders, which is expected to grow.