Last week’s high: $1.3611
Last week’s low: $1.3484
US Dollar Rocked by Employment Figures
The US Dollar was met by notable volatility last week as mixed employment data played havoc with market sentiment.
While USD was able to recoup some of the week’s early losses on Thursday as the ADP employment data suggested that the US workforce swelled in December, Friday’s payroll figures told a very different story, with the US Dollar sliding as payrolls slowed more than expected last month.
At the same time, the Pound’s attempts to advance last week were undermined somewhat by some disappointing PMI figures, with even an uptick in activity in the services sector failing to provide the currency with much of a lift.
USD Outlook: UK Inflation to Normalise in December?
Looking ahead, the UK will publish its latest CPI figures later this week, something that could prompt notable movement in the Pound.
While investors forecast that inflation will have fallen back after peaking at a five-year high of 3.1%, the possibility of another jump is likely to remain a concern for investors, especially as this would place even more pressure on UK consumers.
Meanwhile, the US will release its own inflation figures at the tail end of the week, with expectations that inflation will have slipped in December likely to weaken the US Dollar.
08:30 UK Halifax House Price Index Dec
15:00 US Economic Optimism Jan
If you need to make a USD transfer but don’t have an account with us, click here to get started.
Senior Currency Broker
T: 01442 892 065