020 7898 0500If 2017 was the year of the euro then 2018 certainly didn’t start as the year of the dollar. However, for the past few months the dollar has been the most consistent performer and has hit some impressive highs against sterling and the euro. It might have performed even better than it has been, were it not for Trump’s undermining of the Federal Reserve.
Durable goods orders came in at 1% for June which was much better than the -0.3% in the previous month, although still some way below the 3% the markets had expected. Initial jobless claims also disappointed, but given that the last reading was the best figure posted since December 1969, it is nothing to be too concerned about.
The number of people claiming for unemployment benefit had been expected to climb to 215,000 but the actual figure was 217,000. It is the highest reading since the week ending 30 June but, again, employment has been consistently strong in the US of late.
Today we will see the GDP growth rate for the second quarter of 2018. It is expected to jump from 2% to 4.1% and, if it does, we could see the dollar stregthen. Trump won’t know whether to laugh or cry!
