US dollar is heading lower against its major counterparts today, dropping as the latest economic news disappoints. It appears that the Fed won’t be letting up on its easing program anytime soon.
The latest US GDP reading came in at a +2.5 per cent today. However, this reading was a bit disappointing, since many economists had a higher forecast. With this disappointment, stocks headed lower — and so did the US dollar.
US dollar is heading down against its major counterparts, and the US dollar index has slipped into the red. The latest GDP reading indicates that the US economy is not quite where it should be. Many think that this news will prompt the Federal Reserve to keep its asset buying program in place. The result of continued quantitative easing is a weaker dollar.
Dollar index is slipping, although it managed to hold on to overall gains for awhile. Dollar is struggling especially against the Japanese yen, which is maintaining some strength on the BOJ’s decision not to expand its own easing program right now.
At 13:47 GMT the dollar index is down to 82.557 from the open at 82.815. EUR/USD is up to 1.3022 from the open at 1.3012. GBP/USD is up to 1.5484 from the open at 1.5433. USD/JPY is down to 98.1255 from the open at 99.2615.
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