- AUD / USD is rising amid optimism in the market.
- The US dollar index falls back on Wednesday’s Fed earnings, at 93.
- Initial jobless claims in the United States rose to 351,000 up from 320,000, weighing on the dollar.
At the beginning of the Asian session, the pair fell towards 0.7220 due to a hard-line Fed and Evergrande concerns. However, as the day progresses, the AUD/USD It is trading at 0.7304, posting a profit of 0.81% at the time of writing.
The market mood is positive. European stocks closed with gains, except for the FTSE 100, which lost 0.08% at the expense of an aggressive BoE. Across the pond, the top four indices are gaining between 0.82% and 1.60%, while the US dollar index, which tracks the dollar’s performance against six peers, is down nearly half a percent to 93.04.
Worse than expected, US economic data weaken the dollar
On the US economic calendar, the Bureau of Labor Statistics reported that US jobless claims for the week ending September 18 rose to 351,000 from 320,000 expected by analysts. Additionally, the four-week moving average of initial US jobless claims decreased from 336,500 to 335,750.
According to employers in different industries, the end of federal pandemic benefits has yet to lead to an increase in job applications.
Economic activity in the US continued its expansion in September. The IHS Markit Manufacturing PMI rose 60.1 from the 62.5 expected by economists. Despite the lack in reading, the good news is that manufacturers expanded their workforce at a faster rate in September.
Additionally, the Kansas City Fed manufacturing activity fell to 10 in September 2021 from 22 in the previous month, the lowest reading since July 2020.
On Friday, the Australian economic calendar is empty. Meanwhile, in the United States, August new home sales will be released on a monthly basis. Analysts expect a rise to 0.7 million.
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