The US dollar is mixed against a myriad of currencies to finish the trading week. The greenback is contending with various economic numbers, geopolitical developments, and market events to carve out a concrete direction, which might be the case for the next several trading sessions. The next month might be pivotal for the buck’s performance for the remainder of 2019.
The euro today attempted to rally against the US dollar from the Asian session but encountered massive resistance despite the release of upbeat euro area inflation data. The EUR/USD currency pair could not muster enough momentum to mount a sustained rally as each attempt was quickly countered by a retracement as the bears stepped in.
The Australian dollar was broadly strong today, rising against all of its most-traded rivals. Australia’s macroeconomic data released over the trading session was good for the large part, and that could explain the good performance of the Australian currency.
The New Zealand dollar was weak across the board today, though managed to trim losses against some of its rivals by now. One of the possible reasons for the currency’s poor performance was the deteriorating business confidence.
The US dollar traded generally higher against other majors today, though fell versus commodity currencies, even the extremely vulnerable Australian dollar. The current trading session was very light on macroeconomic data, with housing starts and building permits being the only report released in the United States today, and traders wait for tomorrow’s monetary policy decision from the Federal Reserve to drive the market.
The Canadian dollar is weakening on mixed data on Tuesday. The loonie has been unable to keep the momentum from last week’s stellar economic data, gradually paring its gains against the greenback on the year. The Canadian buck could further weaken over the summer as the central bank is unlikely to put forward an aggressive normalization strategy until at least after the federal election.
The Australian dollar rallied today despite extremely poor domestic macroeconomic data. The possible reason for that was the fact that the market sentiment stabilized as traders priced in the trade war between the United States and China. Yet the currency was unable to hold onto gains and is currently trading below the opening level.
The Canadian dollar climbed on Friday after employment data demonstrated a shockingly good result for April. The disappointing housing report had hardly any impact on the currency.
The Australian dollar fell intraday but has recovered by now as markets were waiting for US nonfarm payrolls. Meanwhile, macroeconomic data in Australia was not good, which can explain the initial fall of the currency.
The New Zealand dollar edged higher today following yesterday’s huge slump even though macroeconomic data released during today’s trading session was negative. The plunge during the previous session was caused by worse-than-expected jobs data.
