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Forex- Dollar Continues to Fall in Holiday Lull

Published 2017-12-28, 11:22 a/m
© Reuters.  The U.S. dollar continues to fall.
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Investing.com - The dollar fell against other major currencies on Thursday as the holiday lull continues.

Trading volumes are expected to remain thin during the last week of the year.

The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was down 0.35% at 92.34 by 11:19 AM ET (16:19 GMT).

The greenback fell for the third consecutive day, nearing a three-month low. Some analysts think the weakness is due to sell offs after President Donald Trump signed the tax bill into law.

The dollar also failed to move on news that initial jobless claims remained steady last week. The number of individuals filing for initial jobless benefits in the week ending Dec. 22 was flat at a seasonally adjusted 245,000, the Department of Labor said on Thursday.

The U.S. dollar was nearing its lowest level against the loonie since October 20, with USD/CAD falling 0.51% to 1.2590. The greenback fell against the Japanese yen, with USD/JPY dipping 0.28% to 112.87. Meanwhile USD/CHF was down 0.68% at 0.9792.

Elsewhere, the euro rose with EUR/USD increasing 0.43% to 1.1946. On Thursday the European Central Bank released the economic bulletin for December, saying the euro zone was expanding and inflation was expected to rise gradually. Sterling was steady, with GBP/USD trading at 1.3440.

The Australian and New Zealand dollars remained strong, with AUD/USD at 0.7790, and NZD/USD trading at 0.7088.

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