FXstreet.com (London) - Dollar rally has slowed but not stopped right now. As dollar rally initiated via bullish jobs data, market shorts closing positions gave steam to the rally. Then today even a tempered cautious outlook did not force dollar down, as market waits for hard figures to support further the possibility or non-possibility of early rate hike in the US, and a move away from the dollar for the carry trade. Dollar supporting the carry trade weighs down on potential upside as market players sell dollars to buy high-yielding assets.
Dollar majors were largely flat, with only Yen shifting after the Japanese government unveiled a further heavy cash stimulus to the economy.
The Kiwi looks tomorrow to Rates Announcement, which is expected to be held firm at 25bps, however the market is keen is listening careful for any bullish outlook.
As we approach the Asian close the majors trade as follows: EUR/USD 1.4838/9 (+0.09%), USD/CHF 1.0181/4 (-0.14%), GBP/USD 1.6444/9 (-0.01%), USD/JPY 88.78/81 (-0.79%).