Jobless claims decline; dollar continues to advance

Jobless claims decline; dollar continues to advance

The dollar continues to tick higher for the fourth day this week as optimism on a stimulus bill, signs of economic recovery and advancing equities set the stage. The pound reversed earlier losses after today’s BoE announcement as its common currency neighbor continues to struggle. Markets await more US Jobs data due out tomorrow.

Perpetual optimism is a force multiplier.

Colin Powell
  • FX Rates
    February 4, 2021

    Rates are not real time. Rates are today's indicative mid-market rates as of time of publishing, which may vary. Please contact SVB for a current quote.

  • USD

    The greenback marched higher for the fourth consecutive day as jobless claims fell more than expected showing signs of a potential downtrend. President Biden’s stimulus bill has the greenlight to pass without widespread support, but the administration is showing some signs of compromise by reducing the threshold for which stimulus checks are distributed.  


    The pound earned some ground and bonds fell as BoE expected inflation to rise. Rates were left unchanged at 0.1% and the bond buying program unchanged. The BoE told banks to start preparing for negative interest rates, but said such policy was not imminent.


    The euro continues to lose ground versus the dollar, dropping for the fourth session and touching the lowest level in two months driven mainly by economic concerns over a slow vaccine deployment. Strategists fear a double-dip recession as the eurozone struggles to keep pace with the US and UK.


    The loonie fell versus the US dollar on dollar dominance despite gains in oil prices. The Canadian dollar remains strong versus other currencies as OPEC+ said it will work to clear the surplus left behind from the pandemic.


    USD/JPY ticks higher posting a three-month high in the seventh day of gains with supports at 105.00 ahead of 104.50 bids.

    The yuan edged higher on Thursday following the Central Bank’s guidance to move the currency higher ahead of the Lunar New Year.

Contact Us

For more analysis on FX markets or information regarding SVB's FX services:

Contact your respective SVB FX Advisor or the SVB FX Advisory Team at
See all of SVB's latest FX information and commentary at

Subscribe to receive the Daily FX Update in your inbox.

By providing your email address and clicking on the Subscribe button below, you consent to receive emails from Silicon Valley Bank for your chosen categories. You also consent to the terms of our Privacy Notice. If you have privacy questions, you may contact us at You can withdraw your consent at any time.

Kathryn Garvey
Kathryn Garvey

Insights from SVB Industry Experts

SVB experts provide our customers with industry insights, proprietary research and insightful content. Check out these related articles that may be of interest to you.

Market risk appetite boosts commodity-linked currencies


US dollar reversed two-day decline following broader risk sentiment


Daily FX Update: USD remains under pressure as markets maintain risk appetite


Daily FX Update: Risk-on trading supports commodity-linked currencies


Daily FX Update: Inflation concerns push the USD higher


Dollar gains vs. other safe havens