Currency rates: dollar remains at the top of fame

Dollar exchange rate is not reduced cause of the general negativity of Asia

In brief: The problems of Europe and Asia, only make the dollar stronger. Bulls on the dollar continues to carry on the American currency up.

The U.S. dollar was trading on Tuesday without specific direction, resulting in his position virtually unchanged against other major currencies. When the pair EUR / USD stays below the 1.2000, the pair GBP / USD short-term fell below 1.4400, while the pair USD / CHF was lower than 1.1600. Japanese yen is stable against other currencies. When the pair USD / JPY is trading above a mark 91.00, while the pair EUR / JPY is consolidated in the region of 109.00.

Commodity currencies have rebounded slightly against the U.S. dollar. Thus, the pair AUD / USD broke the 0.8200 mark, the pair NZD / USD is still trading above 0.6600, while the pair USD / CAD has fallen below 1.0400. Before it was not published important new macroeconomic data that could give a definite direction of trading, and market participants to exercise restraint, not taking active steps. Meanwhile, the position of the British pound hit a little after Fitch Ratings warned of the serious fiscal problems of the UK. Euro, in turn, has fallen sharply against the Swiss franc, which is gaining popularity as the currency of refuge. At the same time by the Swiss National Bank is still not seen any activity for the containment of the franc. Today once again will not be eventful. In the UK, will be published in the latest data on the trade balance. In the case of significant differences with expectations, they may affect the position of the British currency. The most notable events in the United States will publish a report the Federal Reserve “Beige Book”. It will help to trace the dynamics of change in economic activity in areas of responsibility of the Federal Reserve Banks. Against this background, probably some change in the position of the U.S. currency. In general, the market situation does not change, and in conditions of sustained risk aversion to risk-sensitive currencies will remain under pressure. In this case investors’ attention shifted to the events of Thursday, when meetings of the ECB and the Bank of England. Also, the next decision on rates will announce the Reserve Bank of New Zealand. In anticipation of these events market participants are likely to exercise restraint, and the main currency is unlikely to leave the formed bands. The growth of the U.S. dollar will likely continue in the short term, but in the medium term, the probability of a trend reversal against the U.S. currency remains high.

Ukrainian Globalist
2010-06-09 09:12, Currency news.

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