Thursday, 25 Mar 2010

Dollar Gains on U.S. Unemployment Data

The dollar rose against most of it major currency pairs on Thursday after U.S. weekly jobless claims came in better than expected. The weekly report has had greater impact on trading in recent months because of investor concern that the U.S. economic recovery will be tepid and creates few new jobs to replace those lost during the recession.

The USD/JPY cross is actually currently trading higher by 100 pips today at 92.80. However, against the EUR, the Dollar is trading higher by 50 pips at 1.3300, as we see a sharp correction in the pair's behavior. The GBP/USD pair is level today at 1.4840, as market volatility seems to have slowed down as late night trading approaches.

As for tomorrow, many impacting economic indicators are expected from the U.S. economy. Traders are advised to pay special attention to two leading indicators, the U.S Final GDP and Revised UoM Consumer Sentiment. A positive result from both this indicators might boost the Dollar towards another day of rising trends.