US Dollar Gets No Boost from US Economic Data

The US dollar traded below the opening level against other most-traded currencies as mixed economic data from the United States provided no boost for the currency that is struggling to maintain its upward momentum.

The most important US economic reports should have been gross domestic product data, but it actually did not draw attention from markets despite showing faster-than-expected growth of the US economy. On the other hand, the worse-than-expected consumer sentiment accelerated the dollar’s fall.

Some analysts viewed today’s performance of the dollar as a sign that the currency’s rally is running out of steam and some form of correction is in order. Others said that after digesting the internals of the GDP report they did not look that good.

Still, the greenback remains supported by the high probability of an interest rate hike from the Federal Reserve in December, though chances shown by CME FedWatch fell to 74% today from 78% yesterday.

EUR/USD rallied from 1.0894 to 1.0981 as of 19:27 GMT today. USD/JPY dropped from 105.28 to 104.82. USD/CHF sank from 0.9935 to 0.9876.

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