Today, EUR/USD lost a small part of the pips that were gained yesterday after the Fedâs interest rate cut by 0.50%. Even the bad employment statistics didnât prevent dollar from recovering from 1.4860 to 1.4814 against European currency. This can be also partially explained by the major resistance level that has formed near 1.4870 rate on EUR/USD.
Personal income in December rose by 0.5% â better than the analysts expected (0.4%), which can be a good sign for U.S. economy. Personal spendings were at 0.2%, higher than the expected value, but lower than 1.1% growth a year earlier. Core PCE inflation, as expected, didnât change and was at 0.2% last month.
Initial jobless claims report showed a very disappointing dynamic this time â last week claims grew up from 306,000 (revised from 301,000) to 375,000 â thatâs much more than 320,000 predicted by the economic experts.
Chicago PMI â the index of business purchasing activity â fell below the expectations (53.0) fro, 56.4 to 51.5.
Crude oil inventories in U.S. continued weekly growth trend and rose 3.6 million barrels last week, which is nothing but a good sign for the dollar, as the oil prices may stop affecting it negatively.
