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U.S. Dollar Rises after European Central Bank Decision

The U.S. dollar climbed against most other major currencies in late trading on Thursday, as the European Central Bank (ECB) decided to maintain the key interest rates for the euro area unchanged.

The euro zone base interest rate will remain at 0.00 percent, with the marginal lending rate and deposit rate remaining at 0.25 percent and minus 0.40 percent respectively.

The ECB expects that the key interest rates will remain at their present levels at least through the summer of 2019, and in any case for as long as necessary to ensure the continued sustained convergence of inflation to levels that are below, but close to, 2 percent over the medium term.

On the economic front, in the week ending Oct. 20, the advance figure for seasonally adjusted initial claims was 215,000, an increase of 5,000 from the previous week's unrevised level, the U.S. Department of Labor announced Thursday.

The 4-week moving average was 211,750, unchanged from the previous week's unrevised average of 211,750.

Meanwhile, the U.S. trade deficit in goods widened for a fourth straight month in September, bringing it to 76 billion U.S. dollars, according to the Department of Commerce.

The department said U.S. exports of goods for September were 141.0 billion dollars, 2.5 billion dollars more than August exports. Imports of goods for September were 217.0 billion dollars, 3.1 billion dollars more than August imports.

The dollar index, which measures the greenback against six major peers, increased 0.25 percent at 96.6743 in late trading.

In late New York trading, the euro fell to 1.1359 U.S. dollars from 1.1387 dollars in the previous session, and the British pound dipped to 1.2815 dollars from 1.2880 dollars in the previous session. The Australian dollar was up to 0.7085 dollar from 0.7064 dollar.

The U.S. dollar bought 112.58 Japanese yen, higher than 112.41 Japanese yen of the previous session. The U.S. dollar rose to 1.0004 Swiss francs from 0.9972 Swiss franc, and it increased to 1.3078 Canadian dollars from 1.3017 Canadian dollars.

(www.chinaview.cn 2018-10-26)