U.S. data
- Building permits (Apr), fact 1,296M, forecast 1,290M.
- Building permits (m/m) (Apr), fact 0.6%, forecast 0.5%.
- Housing starts (m/m) (Apr), the fact of 5.7%, the forecast of 6.2%.
- Housing starts (Apr), fact 1,235M, forecast 1,205M.
- Initial jobless claims, fact 212K, forecast 220K.
- Philadelphia Fed Manufacturing Index (May), fact 16.6, forecast 10.0.
Published data on the United States has been very positive. Thus, the report on construction in the United States exceeded expectations, and showed the continued high level of construction of new homes, confirming the strong position of the real estate market in the United States. Positive values showed data on initial applications for unemployment benefits and production activity. Separately, it is necessary to highlight the data on receiving benefits. The number of initial claims for unemployment benefits declined very significantly over the week, which may indicate an acceleration of the US labor market.
Fig. 1. U.S. initial jobless claims
Against the background of positive US data and expectations of a positive opening of trading on Wall Street, the US dollar accelerated growth against a basket of competitors. The main strengthening of the American dollar can be traced against safe haven assets, but the overbought US dollar index and drop resistance: 97.70-80 will limit further dollar growth. Support has been placed at 97.60-50.
Fig. 2. The US dollar index chart. The current price is 97.70 (10-year government bonds yield is the blue line)
Read also: “British Pound (GBP) – Features of reading on cross-rates”
Hanzenko Anton
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