The dollar nursed steep losses on Thursday


On Thursday, the dollar posted steep losses, set for a yearly decline. The Swiss franc hit a 9-year peak, and the euro hit a 5-month high.

EBC Forex Snapshot

28 Dec 2023

The dollar nursed steep losses on Thursday and was headed for a yearly decline, while the Swiss franc perched at a nine-year peak and the euro at a five-month high.

Investor focus remains on the timing of the interest rate cuts from the Fed, with markets pricing in a 88% chance of a cut in March 2024, according to CME FedWatch tool. Some analysts remain unconvinced.


Swiss inflation is now back below 2%, meaning that the SNB is the only major central bank currently hitting its inflation target.

However, the return of meaningful positive interest rates among the major G10 currencies means that carry trades are likely to come back into fashion, which could weigh down the currency.

Citibank vs. HSBC Currency Pair Data Comparison

Citi (as of 14 Dec) HSBC (as of 28 Dec)

support resistance support resistance
EUR/USD 1.0724 1.1017 1.0843 1.1243
GBP/USD 1.2326 1.2848 1.2590 1.2905
USD/CHF 0.8667 0.8957 0.8283 0.8697
AUD/USD 0.6445 0.6526 0.6632 0.6959
USD/CAD 1.3381 1.3695 1.3048 1.3492
USD/JPY 139.48 147.50 139.65 145.29

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 dollar stabilizes after a 4-month low

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Data boosts the pound on Wednesday

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