US Dollar
The US Dollar traded lower against most major peers after weak U.S. economic data and the release of the FOMC meeting minutes. The dovish minutes showed that the FED is concerned about raising benchmark interest rates too soon and harming the economic recovery. Slow growth in wages could become a restraining factor for household spending and could keep inflation below the targeted level. Low oil prices could have a negative influence on employment and investments in the sector. An increasingly stronger dollar hurts the export industry.
EURO
Today the focus will remain on the negotiations regarding the Greek debt crisis. Markets were supported yesterday, as Athens stated it will seek an extension of the loan agreement, and German Finance Minister Wolfgang Schäuble said that a compromise could be reached.
The British pound
The Pound rose during the Asian market on Thursday, extending a wave of gains for the second day in a row near the highest level in seven weeks against the US dollar.
Australian dollar
The Australian dollar declined on Thursday with no important data in the region published. Chinese markets are closed today for the Lunar New Year holiday celebrations.
Japanese yen
The Japanese yen traded moderately stronger against the greenback on Thursday after better-than-expected export figures. Yesterday, the Bank of Japan held its unprecedented monetary policy steady. The outlook for exports and factory output was upgraded and consumption remains firm according to BOJ Governor Kuroda. The Japanese Adjusted Merchandise Trade Balance came in at -406.1 billion for January.
Economists expected a reading of -600 billion. The All Industry Activity Index declined by -0.3% in December compared to an increase of +0.1% in November. Analyst forecasted a decline by -0.2%.