The dollar was slightly stronger against a basket of currencies yesterday ahead of tomorrow’s inflation rate data.
Investors will focus on this data as it could influence the Federal Reserve’s stance to tapering monetary policy. So far, the Fed have stuck to their mantra that they need to see a more “complete” economic recovery before making changes to their monetary support.
Yesterday, balance of trade figures revealed that the US trade gap narrowed to $68.9 billion in April from a record high $75 billion gap in March, which was in line with market expectations.
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