The dollar advanced again on Friday to end a volatile week on an upbeat note after Federal Reserve Chair Janet Yellen said at 2200 Thursday night (London time) that the Fed was on track to raise interest rates by December 2015, which is earlier than she intimated a week earlier in the FOMC announcement.
On Friday, US economic growth was revised upward. Gross domestic product grew at 3.9%, up from 3.7% in August, the Commerce Department said. The GDP figure showed the world’s largest economy expanded more than previously forecast in the second quarter, boosted by gains in consumer spending and construction that may help the U.S. withstand a global slowdown.
Strong hiring, cheaper gasoline and higher home prices will probably sustain household purchases, which account for about 70 percent of the economy. That helps bolster Federal Reserve Chair Janet Yellen’s view that the U.S. will overcome any fallout from cooling overseas markets and swings in global financial and commodity markets.
The market saw some slightly weak data out of the Euro Area on Friday, which had limited impact on the market. Italian Wage Inflation came out slightly worse than expected, Spanish Producer Price Index came out slightly weaker than expected, and Euro Area Money Supply grew by less than analyst expectations.
08:00 – USD –FOMC Committee Member Cunliffe Speech
10:15 – USD –FOMC Committee Member Tarullo’s Speech
13:30 – USD –FOMC Committee Member William Dudley’s Speech
13:30 – USD – Personal Income expected to remain at a monthly growth rate of 0.4%
13:30 – USD – Core Personal Consumption expenditures expected to remain at a monthly growth rate of 0.1%
15:00 – USD –Personal Home Sales expected to remain at a monthly growth rate of 0.5%
18:30 – USD –FOMC Committee Member Evans Speech
22:00 – USD –FOMC Committee Member Williams Speech