The U.S. Dollar was able to stage an impressive rally against several of its main currency rivals yesterday, including the Euro and British Pound. Negative news coming out of the Euro-zone largely fueled the greenback's gains, which were largely maintained despite the announcement that U.S. short-term interest rates will remain at their current levels for some time.
Currently, EUR/USD is trading around the 1.3200 level, over 150 pips down from 24-hours ago. The drop in GBP/USD was even more drastic. At the moment, the pair is trading around the 1.5170 level, almost 300 pips down from this time yesterday. In both cases, the Dollar should be able to maintain its respective gains in trading today, providing news set to be released today shows a continuous improvement in the American economy.
Traders will want to pay attention to the U.S. Unemployment Claims Report, the results of which will be announced at 12:30 GMT today. With most analysts predicting a slight drop in the number of new unemployment claims compared to last week, the Dollar may see gains, not only against the Euro, but also against riskier currencies like the Canadian Dollar and Aussie.