The dollar dipped on Friday


Friday: dollar down, euro up. US spending rose moderately in October, with the smallest annual inflation increase in over 2.5 years.

EBC Forex Snapshot

1 Dec 2023

The dollar dipped on Friday, while the euro edged higher. US consumer spending rose moderately in October, while the annual increase in inflation was the smallest in more than 2.5 years.

Markets are pricing in a 97% chance of the Fed standing pat in its December meeting, the CME FedWatch tool showed, with a 46% chance of a rate cut in March next year compared with a 27% chance last week.

The euro slumped overnight as data that showed inflation tumbled more than expected for a third straight month in November. Falling energy prices and lower growth in food and services prices were the main factors behind the slowdown.

Citibank vs. HSBC Currency Pair Data Comparison

Citi (as of 20 Nov) HSBC (as of 30 Nov)

support resistance support resistance
EUR/USD 1.0517 1.0945 1.0742 1.1105
GBP/USD 1.2037 1.2525 1.2341 1.2890
USD/CHF 0.8745 0.9338 0.8621 0.8955
AUD/USD 0.6340 0.6520 0.6411 0.6750
USD/CAD 1.3640 1.3899 1.3467 1.3782
USD/JPY 149.21 151.91 145.29 150.56

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.

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The US dollar rose broadly on Tuesday

The US dollar rose broadly on Tuesday

The US dollar surged Tuesday on expectations of prolonged high interest rates, while the Australian dollar fell despite China's LPR cut.

The dollar was steady on Monday

The dollar was steady on Monday

Monday's steady dollar faces uncertain easing timing due to persistent inflation. Traders eye June for the first rate cut, per CME FedWatch.

​Yen bulls get reality check after a brutal January

​Yen bulls get reality check after a brutal January

The Japanese yen has had a rough start to the year, falling about 5%. Inflation in Japan has cooled, and the U.S. economic outlook is optimistic.