The US Dollar attempted a recovery throughout the first half of Thursday, but resumed its decline following the release of worse-than-anticipated employment data. Initial Jobless Claims for the week ended December 6 unexpectedly rose to 236K, well above the previous 192K.
The US Dollar (USD) is adding marginally to net losses on the week into Friday trade but the broader tone of price action is perhaps tending towards consolidation in DXY losses, with the index edging back to the 99 area, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.
US Dollar (USD) weakness is expected to continue into year-end, supported by seasonal flows and stable Treasury markets. Commodity currencies are performing well, while EUR/USD and USD/JPY target 1.18 and 152, respectively, amid subdued FX volatility, ING's FX analyst Chris Turner notes.