US greenback corporations after preliminary jobless claims, 30-year yields cannot crack 2023 excessive

The US dollar found some modest bids after initial jobless claims edged lower. The reading of 227K was slightly below the 230K consensus and 229K last week.

There has been no sign of weakening in the US jobs market in the weekly data and that’s likely to firm the Fed’s resolve to wait before cutting rates.

The US dollar rose afterwards, climbing around a dozen pips against the yen, with the euro falling by a similar margin.

The bond market was another likely culprit. US 30-year yields tested the 2023 high of 5.17% just ahead of the data and reached 5.16% before pulling back a couple basis points. That may have eased some angst about runaway borrowing costs.

If the 2023 high breaks, US long-term borrowing costs will be the highest since 2007 and that will be a tough blow for the housing market in particular.

Later this year,
ForexLive.com
is evolving into
investingLive.com, a new destination for intelligent market updates and smarter
decision-making for investors and traders alike.