US Dollar Stays Weak Despite GDP Growth in Q2

Market Reviews

Data on economic growth did not have much support for the dollar. The US dollar remains the second weakest currency in a week. Political uncertainty is also another factor that affects the dollar. The euro continues to grow.

The US GDP grew by 2.6% year-on-year in the second quarter, exceeding expectations by 2.5%. Nevertheless, the GDP price index slowed to 1.0%, lower than expectations of 1.3%.

Economic data from the Eurozone are generally positive. The consumer price index in Germany increased by 0.4% mom and by 1.7% yoy in July. The French GDP grew by 0.5% in the second quarter compared to the previous quarter. Eurozone business climate fell to 1.05 in July. Economic confidence rose to 111.2.