U.S dollar index remains upbeat amidst mixed economic data

The U.S dollar index was reported edging higher on Wednesday following the release of economic data that came out mixed. The U.S durable goods orders gained by 0.6% last month as compared to a sharp decline of 1.4% printed in September. Analysts were expecting a 0.5% decline in durable goods orders in October. Recording better than expected figures, the data marked the first of many reports that helped strengthen the U.S dollar on Wednesday.

In a previous estimate, experts had anticipated the quarterly GDP for the United States of America to stand firm at 1.9% (noted in September) in October. The figure came out to be significantly better than the estimate. Printed at 2.1%, the U.S prelim GDP q/q fueled the U.S dollar index to climb out of the daily low of around 98.15.

Unemployment Claims Dropped Sharply In October

228K Americans had filed unemployment claims in September. According to the analysts, the number was forecasted to decline significantly to 223K in October. The unemployment claims report announced at 13:30 GMT, however, highlighted the unemployment claims to have dropped even further to 213K in October.

All didn’t remain positive for the U.S dollar on Wednesday, though. Analysts and investors alike were interested in the Chicago Purchasing Managers Index (PMI) report that was declared worse than expected. Economists had forecasted the index to register a remarkable gain from September’s 43.2 to 47.2 in October. While the actual figure (46.3) was shy of the analysts’ estimate, it was still sufficiently better than in September that, according to the analysts, disabled it from casting a strong impact on the Forex market.

Moments after the Chicago PMI, the U.S dollar index was hit by a drop in the annual core PCE price index that slipped to 1.6% versus a slightly higher 1.7% expected, as per the experts’ forecast. Owing to better numbers as compared to September, however, the U.S dollar index continued to hold its ground above 98.30.

U.S Personal Spending Hit Analysts’ Estimate Of 0.3% Growth

On the other hand, U.S personal spending was accentuated to have hit the analysts’ estimate of 0.3% increment in October. Data for U.S crude oil inventories also turned red for the U.S dollar on Wednesday, printing 1.6M versus 1.4M recorded in September.

Amidst the mixed economic data, the U.S dollar index mostly remained upbeat on Wednesday. Opening at 98.20, the index slumped a little to 98.15 earlier in the day, which was immediately followed by a bull run that pushed the index higher to 98.36. It is currently stabilizing at around 98.33.