Dollar stabilizes on Thursday - EBC Daily Snapshot
2023-11-16
Summary:
Thursday: The dollar is stable as peak rate expectations cool. The Aussie lacks support despite a strong labor market rebound.
EBC Forex Snapshot
16 Nov 2023
The dollar held its ground on Thursday after expectations of peak interest rates cooled. The Aussie failed to draw support from a strong rebound in labour market.
Traders remain certain that rates will not go higher, but have trimmed the odds for a first reduction by March to less than 25%, according to the CME Group's FedWatch Tool.
Figures from the ABS on Thursday showed net employment rose 55,000 in October Market forecasts had been for an increase of around 20,000. Consumer confidence slumped in November following the RBA’s first rate hike since June.
| Citi (as of 6 Nov) | HSBC (as of 15 Nov) | |||
| support | resistance | support | resistance | |
| EUR/USD | 1.0448 | 1.0737 | 1.0535 | 1.0776 |
| GBP/USD | 1.2037 | 1.2448 | 1.2050 | 1.2410 |
| USD/CHF | 0.8745 | 0.9338 | 0.8905 | 0.9131 |
| AUD/USD | 0.6400 | 0.6599 | 0.6248 | 0.6502 |
| USD/CAD | 1.3569 | 1.3899 | 1.3656 | 1.3928 |
| USD/JPY | 147.43 | 151.95 | 149.51 | 152.46 |
The green numbers in the table indicate an increase in data, the red numbers indicate a decrease in data, and the black numbers indicate that the data remains unchanged.
Disclaimer: This material is for general information purposes only and is not intended as (and should not be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by EBC or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.
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