The dollar is turning in a mixed performance against its major rivals Thursday afternoon. Traders continue to react to yesterday’s Fed minutes, as well as some positive U.S. economic data this morning.
First-time claims for U.S. unemployment benefits showed a modest decrease in the week ended October 13th, according to a report released by the Labor Department on Thursday. The report said initial jobless claims slipped to 210,000, a decrease of 5,000 from the previous week’s revised level of 215,000.
Economists had expected jobless claims to edged down to 212,000 from the 214,000 originally reported for the previous week.
A report released by the Federal Reserve Bank of Philadelphia on Thursday showed manufacturing activity in the Philadelphia area grew at a slightly slower rate in the month of October.
The Philly Fed said its diffusion index for current general activity edged down to 22.2 in October from 22.9 in September, although a positive reading still indicates growth in regional manufacturing activity. The index had been expected to drop to 20.0.
A report released by the Conference Board on Thursday showed a continued increase by its index of leading economic indicators in the month of September. The Conference Board said its leading economic index climbed by 0.5 percent in September after rising by 0.4 percent in August. The increase by the index matched economist estimates.
The dollar has climbed to over a 1-week high of $1.1470 against the Euro Thursday afternoon, from an early low of $1.1527.
Germany’s wholesale prices rose at a slower pace in September, data from Destatis revealed Thursday. Wholesale price inflation slowed to 3.5 percent from 3.8 percent in August.
The buck has risen to over a 1-week high of $1.3041 against the pound sterling this afternoon, from a low of $1.3131 this morning.
UK retail sales dropped more-than-expected in September reflecting the biggest decline in food store sales in almost two years, figures from the Office for National Statistics revealed Thursday.
Retail sales including auto fuel fell 0.8 percent month-on-month in September, due mainly to a large decline of 1.5 percent in food stores, which was the largest food store sales fall since October 2015. Economists had forecast retail sales to fall 0.4 percent offsetting August’s 0.4 percent rise.
Bank of Japan Governor Haruhiko Kuroda offered an upbeat view on Japanese economy and continued to back low rate strategy to attain inflation goal.
“Japan’s economy is expected to continue expanding moderately,” Kuroda said at meeting with regional branch managers.
Short and long-term interest rates will be kept at their current “very low” levels for a longer period, he said, adding that the central bank would only make necessary policy adjustments to sustain the economy’s momentum to achieve the price target.
The greenback reached an early high of Y112.728 against the Japanese Yen Thursday morning, but has since retreated to around Y112.180.
Japan posted a merchandise trade surplus of 139.6 billion yen in September, the Ministry of Finance said on Thursday. That exceeded expectations for a deficit of 45.1 billion yen following the 444.6 billion yen shortfall in August.