For more Forex news & info, please visit www.ufxmarkets.com... The US Dollar continued weakening versus all other major currencies as stocks and Commodities made advances following better than expected corporate earnings. Investors wait for the unveiling of the plan by European leaders to contain the debt crisis. Comments regarding progress made over the weekend summit helped stocks and higher yielding currencies keep their bullish momentum.
The dollar declined sharply Thursday after Singapore decided to widen and raise its trading band for the Singapore Dollar. That showed tightening bias for Asia which weakened the US Dollar, which is on a path to loosen its monetary policy. US data meanwhile showed a widening trade deficit, a jump in jobless claims, though higher producer prices. News Provided by CMS Forex www.cmsforex.com Forex Market Analyst Nick Nasad
The EUR/USD pair tested the 1.40 level as yesterday's FOMC meeting minutes show the Fed ready to undertake more quantitative easing while the ECB looks to exit its emergency stimulus measures. With US equities higher on earnings reports from Intel and JP Morgan, higher yielders like the Australian and Canadian Dollar rallied, pushing towards parity against the greenback. News Provided by CMS Forex www.cmsforex.com Forex Market Analyst Nick Nasad
Currency markets mainly consolidated ahead of tomorrow's non-farm payroll report. The ECB extended its unlimited cash to banks throughout this year, an attempt to not take away special liquidity measure when financial markets remain fragile. US data showed labor productivity slid in the 2nd quarter - a sign companies may have to start hiring, while a measure of pending home sales surprised on the upside - a rare positive release for the US housing market.
