U.S. dollar overtakes yen, franc and euro as the country released strong data

U.S. dollar overtakes yen

Dollar edged higher against its major opposing currencies on Thursday’s trading session as released economic data in the United Sates showed higher numbers, which is expected. It also shifted the focus of investors on the much awaited interest rate hike by Fed.

The on-going prospects of a rate hike by the U.S. Federal Reserve had eased the dullness of the U.S. growth and inflation figures in the past weeks. The news regarding the dismissal of FBI chief James Comey by President Donald Trump, along with the possibility that the members of his administration would partner up with Russia also contributed to the easing off.

Western Union Business Solutions’ senior market analysts Joe Manimbo says the economy of U.S. is proposing a welcome disruption to Washington’s downbeat news flows. He is expecting the current data could support the positive assurance of investors on Fed’s rate increase, which is set to be talked about this June 13-14.

The Japanese yen and the Swiss franc was surpassed by a much stronger U.S. dollar following the release of Philadelphia Federal Reserve's Business Index and the initial unemployment claims in the United States. In addition to the greenback’s good performance, it also notched session highs versus the euro.

On the previous trade, the Swiss franc touches 10-day highs versus the euro, this is considered their strongest since Trump took office last November 2016. Last Wednesday, the Japanese yen saw its largest growth versus the greenback since July. It was previously higher by 0.18 percent to yen’s 111.02. The euro edged 0.4 percent lower versus the dollar at $1.1119.

Americans that were inquiring for unemployment benefits tumbled down to a 28-year low.

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