Dollar’s Moving on 2021’s Final Trading Day
ZFX – Early morning during the Asia market open, the dollar looks to be going up with small inclinations as we move to close 2021.
We can see that in some of the currency pairs, namely USD/JPY (up 0.03% tp 115.09), AUD/USD (up 0.06% to 0.7253), GBP/USD (up 0.02% to 1.3479), and NZD/USD (up 0.11% to 0.6822).
There is also the USD/CNY that was up by 0.08% to 6.3743. With the recent Chinese data released earlier, we’re looking at figures showing December’s manufacturing purchasing managers index (PMI) and the non-manufacturing PMI are 50.3 and 52.7 respectively.
The markets in Japan are closed for the day with Australia following closely. As such, we will be seeing much thinner trading volumes that will result in more exaggerated movements.
Yesterday’s U.S. data release showed a fall to 198K in the initial jobless claims, showing once more that the new Omicron variant is looked at to be less than feared. Along with the data came the Chicago PMI that showed to be much higher-than-expected at 63.1.
Investors all over will still hold COVID-19 as one of the key factors determining market movements, even going into 2022, as data from Johns Hopkins University shows 288 million cases as of Dec. 31.
“The market is blasé about many of the risks emanating from omicron right now in terms of growth and the supply chain,” ForexLive chief currency analyst Adam Button told CNBC.
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