Home Daily Commentaries DXY makes small jump amid lower-than-expected data release

DXY makes small jump amid lower-than-expected data release

Weston Blystone
Written by
Weston Blystone

Weston Blystone

OFXpert

At OFX, Weston collaborates closely with businesses, guiding them and providing invaluable insights into foreign exchange strategies to mitigate risk effectively.

| Tuesday 27 February, 2024

Daily Currency Update

The US Dollar Index (DXY) only made a small change this morning of 0.02% to 103.85. There was a slew of data releases led by the monthly Durable Goods Orders report, which was lower than expected at -6.1% versus the expected -4.9%. Core Durable Goods Orders month-over-month were also lower than anticipated at 0.3% instead of the 0.2% that was expected. The Conference Board also came out with the consumer confidence survey results, this report showed household ratings of the current and future economic conditions. The results came back lower than market expectations at 106.7 versus the anticipated 114.8. Usually, these lower-than-expected results would cause the USD to dip, but it has stayed mostly flat or had slight increases. Conversely, Standard & Poor's (S&P)/Case-Shiller (CS) Composite-20 yearly House Price Index (HPI) was slightly higher than expected at 6.1% versus 6%, which bolstered the USD slightly.

Key Movers

In Europe news, the Eurozone M3 Money Supply year-over-year came in lower than expected at 0.1% versus the expected 0.3%. European yearly Private Loans data also came in slightly lower than expected at 0.3% versus 0.4%. The EUR was down this morning against the USD but slightly up against the GBP by 0.05%.

British Monetary Policy Committee (MPC) member Dave Ramsden spoke today, noting that the MPC can’t take stability for granted and markets are transitioning to a new normal. The GBP was down today against the USD to trade near the 1.2682 level.

Australian Consumer Price Index (CPI) yearly data is expected out later today. The AUD was slightly down this morning versus the USD by around 0.08%.

The Canadian dollar traded a little weaker today against most major currencies, including the EUR, GBP, AUD, and USD. Oil was up this morning, around 0.85%, near the 78.24 level. While there was no notable data released today for the CAD, the Canadian Gross Domestic Product (GDP) month-over-month data is expected out on Thursday.

 

Expected Ranges

  • EUR/USD: 1.0839 - 1.0868 ▼
  • GBP/USD: 1.2668 - 1.2697 ▼
  • AUD/USD: 0.6526 - 0.6560 ▼
  • USD/CAD: 1.3480 - 1.3522 ▲

Written by

Weston Blystone

OFXpert

Weston is on a mission to help people optimise their foreign exchange transfers. As Corporate Client Associate at OFX, he collaborates closely with businesses, guiding them and providing invaluable insights into foreign exchange strategies to mitigate risk effectively. Always eager to deepen his understanding and share his expertise with others, Weston finds great fulfilment in working with diverse individuals, nurturing their company's growth through tailored solutions.