US Dollar Declines Ahead of GDP Data

The US dollar fell against its major trading partners early Monday, except for a gain versus the yen, as markets prepare for an extremely busy data schedule.

These data release include first look at Q3 gross domestic product growth and the October employment report, while Federal Reserve officials are in their ‘quiet period’ ahead of the Nov. 6-7 Federal Open Market Committee meeting.

A quick summary of foreign exchange activity heading into Monday showed that USDEUR rose to 1.0817 from 1.0797 at the Friday US close but was below a level of 1.0825 at the same time Friday morning.

There are no Eurozone data on Monday’s schedule, but European Central Bank Vice President Luis de Guindos is due to speak today. The next European Central Bank meeting is scheduled for Dec. 12.

GBPUSD rose to 1.2978 from 1.2962 at the Friday US close but was below a level of 1.2986 at the same time Friday morning. UK retail sector conditions deteriorated in October according to data released earlier Monday. The next Bank of England meeting is scheduled for Nov. 7.

USDJPY rose to 152.6271 from 152.1923 at the Friday US close and 151.9081 at the same time Friday morning. There were no Japanese data released overnight.

The next Bank of Japan meeting is scheduled for Wednesday and Thursday this week, with the post-meeting statement expected late Wednesday evening in US time. No change in rates is expected at the meeting.

USDCAD fell slightly to 1.3892 from 1.3895 at the Friday US close but was above a level of 1.3846 at the same time Friday morning. Canadian wholesale sales data for September are due to be released, followed by an appearance by Bank of Canada Governor Tiff Macklem. The next Bank of Canada meeting is scheduled for Dec. 11. #US Dollar Declines Ahead of GDP Data CBN Defends Naira with $39m in Forex Market