Thursday’s data showed that weak demand forces United States employers to lay off workers. New applications for unemployment benefits have kept extraordinarily high. This continues even though businesses are open now.
For the week ending on June 20, initial claims for state unemployment benefits stood at a seasonally adjusted 1.48 million. Thus, it is down by 60,000 from a week earlier. Nevertheless, it is still double the peak amidst the 2007-2009 Great Recession.
More economic data will come in the next week. This data will include United States manufacturing and job surveys. Nevertheless, ahead of that trade could have an influence from month-end and quarter-end flows. That is what traders said.
The Australian dollar now fetches $0.6891. It is stuck roughly $0.68-70 range in the past couple of weeks.
On Thursday, the Turkish central bank unexpectedly halted a nearly year-long easing cycle. Thus, the Turkish lira stood flat. A such, the Turkish central bank kept its key interest rate unchanged at 8.25% and cited upward pressure on inflation.
The United States Dollar and Others
Per dollar, the lira stood at 6.8538.
Banxico is Mexico’s central bank. It cut its interest rates by 50 basis points as forecasted late on Thursday. Thus, the Mexican peso hovered above a one-month low.
Concerning the reopening of the economy, caution over rapid rises of coronavirus in the United States cast doubt. It is currently keeping the demand for the safe-haven currency intact. So, on Friday, the United States dollar held firm.
The United States dollar index stood at 97.360, having pared a large part of this week’s losses.
Against the yen, the united states dollar traded at 107.09. So, it gained 0.5% in the overnight session. Thus, it has held gains of 0.2%, so far this week.
The euro eased to $1.1223, losing stream after hitting a one-week peak of $1.1348 on Tuesday. Nevertheless, the currency maintained weekly gains of around 0.4%.
- Trading Instrument