Dollar Attempts Recovery

The US dollar is attempting to stage a recovery during the Thursday’s trading session. For a change, news from the United States was positive, allowing the currency to regain some of its strength.

The dollar has been subdued recently and it looked like the currency is going to extend its losses today. Yet several positive events helped the currency to bounce against major rivals.

On the data front, the unexpected drop of unemployment claims last week helped the greenback a great deal. The Markit Flash US Services PMI rose this month — another surprise that was positive for the US currency. In additional to positive economic data, another supportive factor for the dollar was today’s speech of Atlanta Fed President Dennis Lockhart, who has been a known dove previously. Yet his latest comments were relatively hawkish.

EUR/USD was down from 1.0969 to 1.0869 as of 18:50 GMT today after rising to 1.1052 earlier. GBP/USD ticked down from 1.4879 to 1.4843 following the rally to 1.4993. USD/JPY bounced to 119.25 after opening at 119.47 and falling to the daily minimum of 118.32.

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