USD Hammers Rival Currencies

06-01-2012

The USD gained ground against major currencies yesterday, due mainly to the frightening debit crisis in Europe, which caused traders to flee towards the safe waters of the greenback. The U.S. Dollar also strengthened against the Pound, with the GBP/USD trading at 1.5498, a decline of 0.78%. The Australian, Canadian and New Zealand Dollars were down against the greenback, with the NZD/USD trading at 0.7816, down 0.77%. The dollar index hit 81.23, a sharp increase of 1.07%. More employment statistics are scheduled to be released today and should heavily influence the direction of the USD in trading.

Oil down this morning
Crude oil is down this morning by 0.28% as concerns over the European debt crisis influence some commodities negatively. The decline of oil began yesterday, with Crude oil futures falling due to a stronger greenback and in spite of oil concerns regarding Iran. Oil dropped as low as 101.95 USD in trading during yesterday’s session. Euro zone members have reached a consensus regarding the embargo of Iranian oil, though there is some uncertainty regarding the implementation of this trade sanction.

France Sells Bonds
France sold slightly over 10 million dollars of debt yesterday, even as credit rating firms threaten to downgrade its AAA rating. France suffers from the worst debt-to-GDP ratio of the six major European economics, currently at 85 percent. France’s economic woes contributed heavily to the Euro’s awful performance this week, which saw the single currency set record lows against the greenback and the Yen. Analysts believe that the debt sale by the French is not an indicator Europe’s economic condition; something which will only be determined when Spain and Italy sell off some of their debt in the near future.

European Markets Plummet
European markets are down all across the board this morning, as European financial and energy uncertainty continues to come into question. The UK 100 is down 0.78%, trading at 5624.25, while the Germany 30 is down 0.25% and trading at 6095.99. The EUR/USD has declined by 1.5% since December 30. Reports are indicating that consumer confidence in the EU has reached its lowest point over the last two years, declining by 0.4 percent in November.

Employment increase in America
Yesterday’s ADP Non-Farm Employment Change numbers shattered expectations by almost 200%. The report indicates that 325 thousand more people now have employment in the country. This uplifting indicator helped the USD to a gain ground against all other major currencies in yesterday’s trading. The AUD/USD was down this morning, trading at 1.0237 and the EUR/USD was down as well, trading at 1.2784. Wall Street is also in high spirits this morning, with the Nasdaq up by 0.83%, trading at 2348.98.

USD Steady Overall 21-05-2012

The Dollar is trading slightly lower this morning against the Euro, as finance ministers from the G8 summit that took place at the end of last week acknowledged that their agenda is to keep the Eurozone intact and prevent a Greek exit. The EUR/USD is up during early European trading by 0.04%, sitting at 1.2784. Leaders at the G8 summit [...]

Greek Exit More Likely Than Ever 18-05-2012

The small change in direction experienced by the markets on Thursday was short lived, as the Euro once again stumbled against the greenback during Asian trading on Friday. The EUR/USD is down 0.40% and trading at 1.2647. The USD gained some ground on the single currency after yesterday’s Unemployment Claims report in the United States [...]

Trends Reverse…Slightly 17-05-2012

The Euro is up slightly against the greenback during early European trading on Thursday, but remains far below levels from two weeks ago. The EUR/USD is up 0.18% and trading at 1.2739 this morning, rebounding from a 0.10% decline during yesterday’s trading in the United States that saw the pair close the session at 1.2717. The Dollar is [...]

The Collapse of Oil Prices Continues 16-05-2012

Early trading on Wednesday saw a continuing trend of investor concern towards the Greek political crisis and a rush to the greenback. With the chance of Greece leaving the Eurozone more likely with each passing day, the Euro continues to struggle against the Dollar. The EUR/USD is down 0.11% in early European trading this morning, at [...]

European Uncertainty 15-05-2012

The U.S. Dollar was up against most major currencies on Monday, as investor uncertainty regarding the Greek political crisis continued to push investors towards the safe haven of the greenback. The Euro is up slightly at the beginning of the European trading session on Tuesday by 0.05%, sitting at 1.2828. The Euro has declines sharply [...]

Euro Falls Once Again 14-05-2012

Political uncertainty in Greece and mass protests in Spain has pushed the EUR/USD down 0.15% to 1.2897 during late Asian trading on Monday. In fact, the greenback was either steady or up against most major currencies as traders searched for a temporary safe haven in order to dodge uncertainty in the markets. The increased value of the [...]

Time Is Ticking For Greece 11-05-2012

The Euro is back on the decline during Asian trading on Friday, with the EUR/USD down 0.14% and trading at 1.2920. The pair continues to hover at around 1.3000 after the single currency took a major hit due to fears surrounding political instability in Greece and future fiscal policy in France. The pound is also down against the greenback [...]

Euro Declines Stop 10-05-2012

The Euro has rebounded slightly against the USD during Asian trading on Thursday after posting huge losses over the last several days. The EUR/USD is up 0.15% and trading at 1.2946. The majority of major currencies are also up against the greenback this morning, including the Pound, Swiss Franc and Australian Dollar. The Aussie posted [...]

Euro Decline Continues 09-05-2012

The beginning of trading on Wednesday continued the negative trend of the Euro and oil. The Euro continues to decline sharply, down 0.24% and trading at 1.2975. The EUR/USD broke through the 1.3000 barrier earlier this week after European elections in France and Greece cast a shadow over the future of the single currency. The Euro is also [...]

Declines Continue for Oil and Euro 08-05-2012

The Euro is down once again during late Asian trading on Monday, after suffering huge losses yesterday. The EUR/USD is down 0.15% and trading at 1.3032. The single currency did manage to recover somewhat during late trading yesterday, rebounding from a decline of 0.81% at the end of the Asian trading session. Investors continue to show [...]

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