Dollar Weakens Ahead of Pivotal US Economic Reports
The US dollar dipped on Friday as investors awaited key economic releases from the United States. Two major reports, durable goods orders for August and the final September University of Michigan consumer sentiment reading, were expected to shape market expectations about US growth and inflation.
A stronger-than-expected reading in these reports could boost investor confidence in a tightening Fed policy, typically supporting the dollar. Conversely, weaker numbers might lead investors to reassess their views on interest rates, potentially weakening the dollar.
In the meantime, the euro benefited from data showing increased money supply growth in the eurozone, helping EUR/USD trade around 1.1409. The yen also gained strength against the dollar, despite a lack of fresh Japanese economic data.