Forex Market Remains Impervious to the Solid U.S. Jobless Claims Data

Forex Market Remains Impervious to the Solid U.S. Jobless Claims Data
Forex Market Remains Impervious to the Solid U.S. Jobless Claims Data

The firm jobless claims numbers released from the U.S. were expected to bring some positivity to the risk factor. However, the forex market did not look too positive about it as both the EUR/USD pair and USD/JPY pair rebuffed the 1.30 and 100 levels, in that particular order. As per reports, the initial jobless claims slipped to 339k, which is the lowest in the past six weeks with the earlier claims going up to 355K. Moreover, the continuing jobless claims also dropped to 3 million from its earlier 3.093 million mark.

The positive data released by the U.S. just managed to strengthen the perspective of stable monetary policy to be put up by the Federal Reserve against the probable ECB easing in the coming week. 

The EUR/USD duo was trading at 1.2997 in the U.S. trading session on Thursday morning, which was a drop of around 0.13% from the last 1.3094 mark reached on April 19. Many experts cited, the revelation made by Goldman Sachs regarding the possible rate cutting by the European Central Bank in the policy meeting slated for the coming week, to be a reason for this pulling back. Moreover, the news about the new Prime Minister of Italy, Enrico Lette, also seemed to play a vital role in the movement of this pair. The EUR/USD pair was expected to gain some support at 1.2952, whilst its chances to face resistance were high if it reached 1.3092.

Even the USD/JPY pair did not budge despite the release of solid labor data. The weekly portfolio flow data released by the Ministry of Finance signified that Japanese investors are more keen on increasing their sale of foreign bonds. Many experts even expected that the easing on the part of Bank of Japan might push traders in Japan to foray into the international market, however, analysts have denied any boost in the purchase of foreign bond for this month, after the easing was done by the bank on April 4.

The pound traded bit higher against its U.S. counterpart, as investors continued to invest in the former after the economic data for the first quarter in the U.K. eradicated any chances of a triple-dip recession. GBP/USD pair was trading at 1.5480 in the U.S. trading session, which is the highest trading value since February 19, showing a surge of 1.10%.