Wednesday was a fairly negative day overall for the US dollar, as it began to weaken against both the euro and sterling. This was encouraged by the morning’s dovish views from Federal Reserve member Evans who feels a 2015 Interest Rate rise may be too early, and instead backs a 2016 rise. Poor data followed this: durable goods orders figures were negative, showing a slowdown in the number of orders placed by consumers, and there was a slowdown in the US Crude Oil Inventories.
The Weekly Unemployment claims is released this afternoon, with a stable increase predicted. This is followed up by a speech by another Federal Reserve member, Lockhart, who has recently been very pro the idea of a 2015 rate rise. The Services Purchase Manager’s Index is released later in the afternoon, and this is expected to show continued growth in the sector. Focus for the rest of the week, however, will be on the Final Growth figure for Quarter 4 of 2014; this is expected to be revised upwards – which would could strengthen US Dollar if correct.