EUR/USD advanced today as concerns about global economic slowdown deepened. The worries led to speculations that the Federal Reserve would hike interest rates with slower pace or even forgo monetary tightening altogether. Yesterday’s comments from Fed Chairperson Janet Yellen reinforced such view, being fairly dovish, though she did not say that the Fed is going to completely stop raising rates.
Seasonally adjusted initial jobless claims edged down from 285k to 269k last week while analysts were pointing at 287k as a probable level. (Event A on the chart.)
Yesterday, a couple of reports were released. (Not shown on the chart.)
US crude oil inventories declined by 0.8 million barrels last week but remained near record levels. Experts had promised an increase of 3.1 million. The stockpiles swelled by 7.8 million the week before. Total motor gasoline inventories gained by 1.3 million barrels.
Treasury budget demonstrated a surplus of $55.2 billion in January. That is compared to the average forecast of $10.3 billion. The budget had a deficit of $14.4 billion in December.
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