Dollar climbs after US jobless claims drop unexpectedly
US Dollar Strengthens Following Drop in Jobless Claims
The US dollar gained ground on Thursday after new figures revealed a surprising decline in the number of Americans applying for unemployment benefits last week. This development has reinforced beliefs that the Federal Reserve is likely to maintain its current interest rates in the coming months.
According to the Labor Department, initial claims for state unemployment assistance fell by 9,000 to a seasonally adjusted total of 198,000 for the week ending January 10. This figure came in lower than the 215,000 claims predicted by economists surveyed by Reuters.
Lou Brien, a strategist at DRW Trading, commented that the numbers are now at the lower boundary of recent trends, noting that this has caught the attention of market participants.
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