The Euro is trading at 1.1099 at the moment.  The low has been 1.1065 while the high has been 1.1152.  The Euro remains under pressure from a slowly strengthening US Dollar after data yesterday that encouraged more support for the greenback.  Optimism has returned for the Dollar which was having a run of lower than expected data last month.  In Europe today, Spanish Unemployment Change was almost twice as bad as expected registering -118.9K.  Earlier this morning, French Government Budget Balance was -26.3 billion Euros which was larger than the deficit of the previous month.  In addition, European PPI registered 0.2% which was lower than expectations.  This data weighed on the Euro which eased down to the low of the day before finding support and retracing to higher levels.  A new round of US Dollar strengthening seems to be taking place in the currency markets at the moment but it is uncertain how much ground it will gain after market sentiment had started to show disdain for continued strength.  Then of course there is the Fed who is certainly watching the data closely with hands on the trigger to act if necessary.

The British Pound is trading at 1.5129 at present.  Sterling has traded as low as 1.5088 while the high has been 1.5151.  As this new round of US Dollar strengthening has come and influenced the currency markets, the pound continues to soften versus the greenback.  UK Construction PMI registered 54.2 which was lower than expected.  Cable may have the added pressure of uncertainty put on it with the coming election still just a few days away and the outcome far from certain.  Then there is the US economic data that is scheduled for release later this morning.  With the US Trade Balance numbers out soon, a feeling of consolidation has crept back into the markets as the US Dollar has softened a bit from its earlier highs.  The volatility that exists in the market right now has another chance of coming to the forefront once the US economic data is released today.  We will be watching it closely.

The Japanese Yen is trading at 120.45 currently which 2 pips off of the USD/JPY high of the day at 120.47.  The low has been 120.03.  Japan has enjoyed the second day of a 3 day bank holiday this week as the Yen has given up a little more ground to the US Dollar this morning.  Due to the holiday, no significant economic data has been released out of the region.  There will be one more day off for the Japanese tomorrow with Markets retuning to some normalcy on Thursday.  The Dollar still remains poised towards the upside ahead of the US data releases this morning.  If the numbers are good expect a push towards the key resistance level of 121.00.

AUD/USD is trading at 0.7876 with the low being 0.7789 while the high has been 0.7918.  Today, the RBA lowered the Australian Cash Rate to 2.00% from 2.25% as a means of inspiring growth in the country.

USD/CAD is trading at 1.2078 with the low being 1.2077 and the high being 0.2131.


This information has been prepared to provide you with general information only. It is not intended to take the place of professional advice and you should not take action on specific issues in reliance on this information.