The weekly report of the engines and performance of the Forex market

Last week, the strong US dollar gains against other major currencies were halted 

by profit taking. 

Overall, the US dollar remained supported by results Growth of US GDP, which was stronger than expected for the first quarter of this year, and an upward revision of the University of Michigan Consumer Confidence Index. US 10-year Treasuries broke an important psychological level around 3%.

 Expectations still point to further gains for the US dollar this week as markets await interest rate decision from the US central bank and a monetary policy statement that will determine the fate of the three-times dollar rate hike, the first of which was in March. The bank is now expected to raise interest rates next June.

 Meanwhile, the euro failed to overcome the strength of the dollar last week and closed at its lowest level in four months. The pound fell to a one-month low against the US dollar on weaker UK GDP data in the first quarter.

 All commodity currencies rebounded on the last day of the trading week. The Australian dollar led the gains. While the New Zealand dollar remained steady, the Canadian dollar continued to gain further as global oil prices continued to hold and expectations for the NAFTA pass.