Foreign Exchange Market Update

September 3, 2026

United States Weekly Jobless Claims Inch Slightly Higher

First-time claims for U.S. unemployment benefits crept slightly higher in the week ending on August 29th, according to a report released by the Labor Department on Thursday. The report said initial jobless claims edged up to 206,000, an increase of 2,000 from the previous week's level of 204,000. The Labor Department said the less volatile four-week moving average also ticked up to 207,250, an increase of 1,500 from the previous week's average of 205,750.

The report said continuing claims, a reading on the number of people receiving ongoing unemployment benefits, also rose by 8,000 to 1.779 million in the week ending on August 22nd. Meanwhile, the four-week moving average of continuing claims dipped to 1,781,750, a decrease of 5,000 from the previous week's average of 1,786,750. 09/03/2026 - 09:47:00 (RTTNews)

Eurozone Producer Price Inflation Accelerates

Euro traded at 1.1621 against USD at 9:00 AM PST

Eurozone producer price inflation accelerated in July, largely reflecting the surge in energy prices. Producer prices increased 5.8% in July after climbing to 4.6% in June and 5.9% in May. Excluding energy, producer price inflation rose marginally from 3.0% in June to 3.1%. Monthly, producer prices rebounded 1.6% following June's 0.3% fall.

Energy prices registered the biggest annual growth of 12.9%, following an 8.8% gain in June. Prices of intermediate goods and capital goods grew at faster rates of 6.3% and 2.6%, respectively. Growth in durable consumer goods held steady at 2.9%, while non-durable consumer goods prices slid 0.7%.

Producer prices in the EU increased 1.4% in July from the previous month and by 5.6% from last year. The highest annual increases in industrial producer prices were recorded in Ireland, Lithuania, and Bulgaria. Meanwhile, the only decrease was reported in Luxembourg. 09/03/2026 - 06:41:00 (RTTNews)

United Kingdom Services Activity Growth Accelerates

British Pound traded at 1.3532 against USD at 9:00 AM PST

UK services activity grew at the fastest pace in four months in August, reflecting an improvement in broader economic conditions. The services Purchasing Managers' Index (PMI) rose from 52.1 in July to a four-month high of 52.5 in August. The flash score was 52.8. There was a marginal expansion of new orders in the service economy. However, export sales dropped for the sixth straight month due to subdued European demand and geopolitical uncertainties.

Employment decreased at the slowest pace since October 2025. Service sector workforce levels fell for 23 months, which was the longest continuous period since 1996. On the price front, input cost inflation picked up from the five-month low seen in July. Meanwhile, output prices increased at an accelerated pace. Although inflationary pressure was a constraint on business optimism, business activity expectations continued to rebound from the low point seen in May.

The overall private sector output growth accelerated in August, underpinned by the services economy, while manufacturing production rose at the softest rate in four months. The final composite output index registered 52.5, in line with the flash estimate, and up from 52.2 in July. 09/03/2026 - 09:12:00 (RTTNews)