The Dollar Elevated, but almost four-week lows due to Fed’s Dovish Stance

The Dollar Elevated, but almost four-week lows due to Fed’s Dovish Stance

The Dollar was high on Friday Morning in Asia but ready for a fourth successive week of losses because the US Federal Open market Committee met this week and decided to keep interest rates steady, near zero.

The U.S. Dollar Index traces greenback versus a basket of the other currencies slightly up 0.03% to 90.618.

The USD/JPY pair edged down 0.10% to 108.81. Japanese data released in the first half of the day mentioned Industrial Production increased 2.2% monthly in march, meanwhile, Tokyo Core Consumer Price Index shrunk 0.2% yearly in April.

The AUD/USD pair was high 0.24% to 0.7782, with Australia’s Producer Price Index increasing 0.2% yearly and 0.4% in the first quarter.

The NZD/USD pair inched up 0.11% to 0.7253.

The USD/CNY Pair slightly down 0.04% to 6.4684. China’s Manufacturing Purchasing Managers Index (PMI) for April was 51.1 and non-manufacturing PMI was 54.9. The Caixin Manufacturing PMI for April was 51.9 and the Caixin Service PMI is going to release in the upcoming week.

The GBP/USD pair edged up 0.08% to 1.3951.

Data released on Thursday stated that the U.S. GDP climbed 6.4% in the first quarter of 2021 and 553,00 initial jobless claims were filed over the past week.

The Bank of Canada has already begun decreasing its asset purchases, and the commodity-linked Canadian dollar got a further boost from rising oil prices, which were at a six-week high.

The prices also supported the Australian and New Zealand dollars, which are also connected to commodities.