Express
Analyst: US Dollar Weakens as Fed Independence Threatened
Summary: Contrary to expectations, the US economy showed resilience after a larger-than-expected contraction in the first quarter. Durable goods orders rose by 16.4% in May, weekly jobless claims increased by a modest 236,000, and GDP shrank by 0.5% in Q1, instead of the previously estimated 0.2%. As the independence of the Federal Reserve is threatened, the ...
Contrary to expectations, the US economy showed resilience after a larger-than-expected contraction in the first quarter. Durable goods orders rose by 16.4% in May, weekly jobless claims increased by a modest 236,000, and GDP shrank by 0.5% in Q1, instead of the previously estimated 0.2%. As the independence of the Federal Reserve is threatened, the US dollar continued its downward trajectory overnight. The Wall Street Journal reported that Trump may appoint a successor to Powell as Fed chair earlier than usual to weaken the current hawkish stance. Marc Chandler of Bannockburn stated, 'Such a direct attempt to influence the Fed will not be welcomed by investors.'
