By: DailyForex.com
The US Dollar Index is slowly recovering from its earlier retreat amid risk aversion in a trading week shortened by the American Thanksgiving holiday. Turkey’s role in taking down a Russian warplane near the border to Syria played a key part in escalated market jitters. The recipients of the markets’ concern have been the traditional safe haven currencies, i.e. the Japanese Yen and the Swiss Franc, but also the common currency Euro which is generally used in carry trade positions.
As reported at 11:00 am (GMT) in London, the US Dollar Index is trading at 99.96 .DXY, a gain of 0.31%; the Index is contained within a relatively tight trading range. The USD/JPY pair just eased away from its low and was trading at 122.5980 Yen, a gain of 0.07%. The USD/CHF was trading at 1.0218 Swiss Francs, a gain of 0.50% while the EUR/CHF was trading at 1.0825 Swiss Francs, down 0.1%. The EUR/USD was trading at $1.0596, down 0.49% and very close to the session trough set at $1.0590; the pair’s top end for the day was established at $1.0695.
US Data Could Weigh on Dollar
A slew of US economic data which will be released later could cement investors’ conviction of an imminent rate hike. The most important of the releases ahead is US Durable Goods Orders; the latest poll shows experts are predicting a rise in October’s numbers to 1.5% from -1.2%. Any disappointment will suggest that manufacturer’s are still wary of the outlook for the US economy and could weigh on the Dollar.