020 7898 0500Following Wednesday evening’s FOMC meeting minutes release, the dollar lost some ground against sterling and the euro, but it bounced back yesterday as the news filtered through to the markets. The move represented the first rallying in six trading sessions, as it is now widely expected we will see further interest rate rises before the year is out.
The ongoing trade war between the US and China didn’t hurt the dollar either, as the greenback is seen as safe haven and investors piled into it. The main release from the US was new home sales for July, which came in at the lowest rate since October. Sales shrank by 1.7% from the previous month. We also saw composite, manufacturing and services PMI, which came in at 55, 54.5 and 55.2 respectively. All were slightly below expectations, but the figures still show healthy growth.
Today we will see durable goods orders for July and the Jackson Hole economic policy symposium is set to begin at 3pm.
