The main currency pair is consolidating on Friday, but the USD may continue strengthening.
By Friday morning, EURUSD had stopped falling, but the American currency, based on the statistics, is still looking strong. The current quote for the instrument is 1.2310.
The report on the Unemployment Claims published by the USA yesterday was a pleasant surprise, although investors got used to this over the last three years. The indicator was 226K after being 230K in the previous report and against the expected reading of 227K.
It is worth noting that the indicator has been over the psychologically-crucial of 300K for 157 weeks in a row, which is more than consecutive three years. It means that the labor market in the USA has been improving for quite a long time.
The better the labor market numbers, the higher the probability that the US Federal Reserve may tighten its monetary policy. The next meeting of the American regulator will take place next week and, according to Bloomberg and WSJ surveys, expectations of the rate increase are 100%.
Orgin: RoboForex
