Currency – The dollar gaining ground after the GDP


© Reuters. The dollar gaining ground after the GDP

Investing.com – The dollar is gaining ground against other currencies on Wednesday, boosted by the publication of the economic growth in the third quarter, on the hope that tax reform will be implemented quickly.

The third estimate of gross domestic product (GDP) for the second quarter (Q2) rose to 3.3% from an initial reading of 3.0%.

Analysts were counting on a revision to 3.2% only.

The report was published a day after data showed that u.s. consumer confidence reached its highest level in 17 years this month.

Investors were also encouraged by the fact that the budget Committee of the u.s. Senate approved the draft tax law of the president Donald Trump. A vote by the Senate on the bill could now take place as early as Thursday.

The index dollar, which measures the greenback’s strength against a basket of six major currencies, ahead of 0.12% to 93.31 at 08:40 a. m., AND (12:40 GMT).

The EUR / USD gives up 0.09% to 1,1827, while the GBP / USD rose 0.31% to trade at 1,3386 after figures have shown that the growth of consumer credit in the Uk had hit a low of 18 months in October.

Elsewhere, the yen and the swiss franc declined, with USD/JPY up 0.39% 111,90 $ and with USD / CHF up 0.22% at 0,9859.

The australian dollar was lower, with AUD/USD down 0.14% to 0,7584, while the NZD / USD has advanced 0.33% to 0,6920.

During this time, the USD / CAD rose 0.12 per cent to 1,2834.

The demand for safe haven securities, has first strengthened after North Korea announced Tuesday that it had successfully launched a new type of intercontinental ballistic missile that it claimed to be capable of reaching the continental United States.

The australian dollar and new zealand were weaker, with AUD/USD down 0.45% to 0,7561, while the NZD / USD was down 0.09% to 0,6892.

During this time, the USD / CAD advancing 0.20% to 1,2845.

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