The US dollar continued to weaken until the New York session yesterday Thursday as the market focus shifted back to the expectations of the Federal Reserve (Fed) monetary policy decision after this.
The percentage remained high on the expectation of a Fed interest rate cut for the September meeting following the indications presented by the latest economic data.
In fact, concerns about the labor market in the speech delivered by Fed Chairman Jerome Powell at the Jackson Hole symposium last week also strengthened the direction of market expectations.
However, the report on the second quarter economic growth of the United States (US) published in the New York session yesterday recorded a strong reading.
The second reading increased to 3.3%, surpassing the forecast of 3.1%, compared to the first reading published last month which was 3.0%.
Also published together, the US unemployment benefit claims data also recorded a lower figure for the previous week's reading.
Although the data came with positive readings, it failed to provide an injection for the US dollar to strengthen.
On the other hand, the US dollar continued to move weakly until the end of yesterday's trading session and slowed at the opening of the Asian session this morning (Friday).
Not finished yet, the next clue for investors is to watch the inflation component that is the central bank's favorite indicator, the PCE price index which measures personal consumption expenditures.
The US dollar's movement in the last session of this week is expected to be driven by the data after the market reaction to the published figures.
