A reduction in weekly jobless and initial claims for the US confirming a continuing strong job market. If look back to the start of the month, non-farm payroll, that pictured an extremely healthy report on the job market and while retail sales been strong too and business activity rebounding to an eight-month high for February.
Expectations from the Federal Reserve’s upcoming actions have changed, given them more room for further interest rate hikes due to the strong job market and economic activity.
This has boosted the USD throughout the week and leading us up to today. Later on today, 1.30pm, focus will be to follow the release of US core PCE (personal consumption expenditures) price index for January. It’s the preferred measurement from the Federal Reserve when it comes to inflation, with speeches following. This could give us a clear indication what will be their next step on the 22nd of March, when their holding its next interest rate decision.