Greenback stays broadly supported after U.S. jobless claims

© Reuters. Dollar still on the upside vs. rivals after U.S. data

Investing.com – The dollar remained broadly supported against the other major currencies on Thursday, after data showed that U.S. jobless claims rose more than expected last week, but remained in territory usually associated with a firming labor market.

was steady at 121.42.

The U.S. Department of Labor reported that in the week ending December 4 increased by 13,000 to 282,000 from the previous week’s total of 269,000. Analysts expected jobless claims to hold steady at 269,000 last week.

Demand for the dollar continued to be underpinned by expectations that the Fed is on track to raise interest rates for the first time since 2006 at its upcoming meeting on December 15-16.

Higher interest rates would make the dollar more attractive to yield-seeking investors.

slid 0.62% to 1.0953.

The euro still remained supported after the latest round of easing announced by the European Central Bank fell well short of market expectations.

Elsewhere, the dollar was higher against the pound and the Swiss franc, with down 0.23% at 1.5146 and with gaining 0.33% to 0.9864.

Sterling weakened after dovish Bank of England meeting minutes indicated that interest rates are likely to remain on hold at record lows for longer.

eight-to-one to keep rates on hold at 0.5%. Ian McCafferty, one of four external members on the nine-person MPC, voted to increase rates to 0.75%.

The minutes came after data showed that widened to £11.83 billion in October from £8.8 billion the previous month. Economists had expected the trade deficit to widen to £9.7 billion in October.

Also Thursday, and said it was still prepared to intervene in the currency markets to weaken the highly-valued Swiss franc.

The Australian and New Zealand dollars were stronger, with up 0.86% at 0.7292 and with advancing 0.49% to 0.6753.

Earlier Thursday, from 2.75% to 2.50%, in a widely expected move.

In Australia, data showed that increased by 71,400 in November, confounding expectations for a 10,000 decline.

ticked down to 5.8% last month from 5.9% in October, compared to expectations for a rise to 6.0%.

Separately, the Melbourne Institute said that its for the next 12 months rose to 4.0% last month from 3.5% in October.

Meanwhile, eased 0.10% to trade at 1.3565.

The , which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up 0.43% at 97.76, off the previous session’s one-month low of 97.21.

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Greenback stays broadly supported after U.S. jobless claims