The USD advanced against the EUR and JPY at the end of last week as data showed gains in foreign funds coming to the U.S. and frailty in consumer confidence encouraged selling of stocks. The USD and GBP rebounded from recent lows scored the previous day as traders reversed bets that the USD will fall even more, and U.S. stocks declined, easing pressure to continue selling the dollar.
The GBP was stronger against the EUR, poised for its biggest weekly gain in more than four months; on…
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Added by Forex Daily Digest on October 19, 2009 at 8:09am —
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The dollar headed lower against the EUR and the GBP but remained up against the JPY in volatile trading after a mixed bag of U.S. economic data. Currency markets also watched the U.S. equities market, which remained above the 10,000 level for a second straight day. After a weak regional manufacturing report, stocks remained lower and U.S. Treasuries briefly turned positive, pushing yields down, indicating a demand for safer assets that briefly supported the U.S. dollar.
The dollar…
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Added by Forex Daily Digest on October 16, 2009 at 8:06am —
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The USD traded near a 14-month low against the EUR as improving corporate earnings helped global stocks rally beyond the 10,000 mark, encouraging investors to look for higher- yielding assets. The USD may fall for a third day against the yen as JPMorgan Chase & Co.’s earnings beat analysts’ estimates. The NZD gained against all of its major counterparts as the nation’s consumer prices rose more than expected.
Heightened public concern over the USD’s drop -- from finance officials…
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Added by Forex Daily Digest on October 14, 2009 at 9:46pm —
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The USD fell to a new 14-month low versus major counterparts as investors favored gold, often viewed as the most stable currency, with the dollar's losses softened by a drop in U.S. stocks amid concerns about the strength of the economy's recovery. The dollar cut some earlier losses that pushed the commodity-oriented AUD and CAD to levels not seen since in a year.
The shift out of dollar into euro- denominated assets by central banks around the world will help extend the rally in…
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Added by Forex Daily Digest on October 13, 2009 at 9:30pm —
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The dollar lost ground against major rivals as U.S. equities extended a rally ahead of a heavy flow of corporate earnings this week. Earlier in the day, the USD hit a two-week high against the JPY with traders covering short positions in the U.S. currency as they debated the timing of tightening in U.S. monetary policy. Despite its gains against the JPY, dollar sentiment remained bearish, and it gave up early gains against the EUR, after a 1 percent increase in European shares. The dollar…
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Added by Forex Daily Digest on October 12, 2009 at 10:13pm —
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The USD moved higher in Asian trading at the end of the week, after some currency investors took remarks from Federal Reserve Chairman Bernanke as hints that U.S. interest rates could be headed higher. The USD's advance followed remarks from Bernanke, who said the Fed will reverse course and tighten monetary policy "when the economic outlook improves sufficiently." The USD has been hit hard as investors have run toward equities and other riskier investments since the spring after investing in…
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Added by Forex Daily Digest on October 11, 2009 at 9:45am —
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The USD briefly cut its losses against the JPY after data showed the number of Americans filing new claims for unemployment benefits fell more than expected to a nine-month low last week. The USD fell to a two-week low against the EUR amid signs the global economy is recovering, increasing demand for higher-yielding assets. The Dollar Index saw its weakest level in 14 months after Alcoa Inc. (AA) reported third-quarter earnings that beat analysts’ estimates, motivating gains for…
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Added by Forex Daily Digest on October 9, 2009 at 8:09am —
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The dollar traded near the lowest level in almost two weeks versus the euro as speculation that the Federal Reserve will follow other central banks in raising interest rates made the dollar less attractive. The AUD was the biggest gainer against the dollar this week, hitting a 14-month high, as the Reserve Bank unexpectedly increased the cash target to 3.25 percent and signaled further increases on the horizon. Gold futures climbed to a record high and crude oil gained as the dollar’s decline…
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Added by Forex Daily Digest on October 8, 2009 at 7:58am —
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The USD remained lower against most major rivals, weighed down in part by a British newspaper report that Gulf oil producers, in concert with China, Russia, Japan and France are planning to eventually end dollar-based oil pricing. The report in the Independent newspaper was denied by top finance officials, giving the dollar a small, but temporary, lift in early European trading hours.
Oil futures rose above $71 a barrel early yesterday, as the USD fell against major currencies,…
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Added by Forex Daily Digest on October 7, 2009 at 7:40am —
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High-ranking oil and finance officials in the Persian Gulf, denying a report in a British newspaper, said the world's oil producers will continue using the U.S. dollar as the currency for buying and selling crude. Earlier, The Independent, a London newspaper, reported that Gulf Arab states, as well as China, Russia, Japan and France, were in secret talks to end the use of the USD to trade oil, causing the U.S. currency to fall in overseas trading this morning.
The USD fell against…
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Added by Forex Daily Digest on October 6, 2009 at 9:00am —
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The G7 nations released a final report after their meeting this weekend in Istanbul which stated that too much instability in foreign exchange markets could harm the international economy and the financial system, and again welcomed China's commitment to move toward greater currency flexibility. The language on currencies in the final communiqué issued by the G7 finance ministers and central bankers was nearly identical to a statement released after their last meeting in April.
IMF…
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Added by Forex Daily Digest on October 4, 2009 at 1:49pm —
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The USD saw some strength against the EUR after European Union officials voiced concern about the EUR’s recent increase. The E.U. Economic and Monetary Affairs Commissioner, Joaquin Almunia, said the finance ministers from the 16 euro nations will discuss the currency's rise in order to develop a common position ahead of the G7 meeting in Istanbul which begins tomorrow. A senior Canadian finance official said G7 finance ministers and central bank heads will try to figure out how to activate the…
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Added by Forex Daily Digest on October 2, 2009 at 8:11am —
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The third quarter wasn’t kind to the U.S. dollar. As a matter of fact, the USD fell against most of the major world currencies as the International Monetary Fund cut its projections for losses and write-downs associated with the world’s current economic crisis. The dollar index fell 4.4 percent in the quarter and was down 2.0 percent for the month of September alone. The CAD increased the most in three weeks based on the same IMF projections. U.S. gold futures hit $1,000 an ounce yesterday,…
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Added by Forex Daily Digest on October 1, 2009 at 7:57am —
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The USD gained a little ground against other major currencies yesterday, particularly the JPY after that nation’s Finance Minister hinted at the possibility of “intervention” to slow any further increase in the yen. U.S. gold futures fell slightly in choppy trading as a USD increase encouraged bullion investors to lock in their profits, but strong technical support should keep gold from falling even more.
Japan's new finance minister, Hirohisa Fujii, has upset the foreign exchange…
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Added by Forex Daily Digest on September 30, 2009 at 7:30am —
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The USD lost some of its gains yesterday after the U.S. equities markets began trading in the positive. The Dow Jones Industrial Average actually finished higher by more than 124 points. Over the past few months, the U.S. dollar has moved in the opposite direction as stocks. The USD is considered a currency that holds value in uncertain times. Then as the position has brightened, investors have sold their dollars to buy more volatile but higher-yielding currencies.
The JPY hit its…
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Added by Forex Daily Digest on September 29, 2009 at 7:49am —
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World Bank President Robert Zoellick said the U.S. shouldn’t take for granted the dollar’s status as the world’s main reserve currency. In remarks set for delivery today, Zoellick said the “next upheaval” in the international economic order is under way as emerging nations gain greater influence. In an excerpt from Zoellick’s speech he said, “The United States would be mistaken to take for granted the dollar’s place as the world’s predominant reserve currency.” Policy makers from China to…
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Added by Forex Daily Digest on September 27, 2009 at 7:18pm —
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The USD gained against major currency rivals yesterday following a report that showed U.S. sales of existing homes unexpectedly fell in August for the first time in five months. The National Association of Realtors reported that sales of existing U.S. homes dropped 2.7% in August to a seasonally adjusted annual rate of 5.10 million. The median forecast was for a small gain to a 5.40 million annual rate from 5.24 million in July. The USD remained higher after the Labor Department reported…
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Added by Forex Daily Digest on September 25, 2009 at 7:00am —
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The USD, already hitting its lowest levels of the year, is expected to continue to grow weaker even as an improving U.S. economy leads the Federal Reserve to unwind more of its liquidity-boosting programs. That's because the U.S. currency has increasingly been at the center of a so-called carry trade. The USD fell across the board in Asia, hitting fresh yearly lows against the EUR, the NZD and the AUD ahead of the latest update on monetary policy by the U.S. Federal Reserve. After an unstable…
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Added by Forex Daily Digest on September 24, 2009 at 7:33am —
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The USD fell to a one-year low against the EUR, just over $1.48 as crumbling sentiment on the U.S. currency prompted selling ahead of a Federal Reserve meeting and Group of 20 summit this week. Traders took advantage of a dollar rally in the prior session to sell on views the Fed will signal plans to maintain loose monetary policy well into 2010. U.S. gold futures rose toward $1,020 an ounce, gaining one percent as a sharp deterioration of the dollar's value triggered investment buying in gold…
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Added by Forex Daily Digest on September 23, 2009 at 7:32am —
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The USD was up against the EUR yesterday ahead of the G20 meeting being held in Pittsburgh this week. It also gained a bit of ground as investors seemed to be chased away from risky trades ahead of today’s FOMC meeting. The dollar also was higher after news from the Conference Board that reported the U.S. recession is bottoming out and a recovery is near. The index of leading economic indicators rose 0.6% last month. Analysts predicted the index would rise 0.7% in August.
Federal…
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Added by Forex Daily Digest on September 22, 2009 at 8:14am —
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