The Euro is trading at 1.1322 at present. The low has been 1.1295 while the high has been 1.1342. The Euro still seems to show the cautious tone being felt by the markets. Greek officials still must present their proposed economic reforms to Brussels today after missing the Monday deadline. These proposed economic reforms must be accepted and approved by the country’s lenders before the four month extension of the bailout package can be secured. The cautious tone persists because any collapse of the deal being negotiated could see Greece exit the EU and put further pressure on the Euro. Earlier this morning, German Final GDP met expectations to register 0.7%. Additionally, European Final CPI and Final Core CPI also met expectations registering -0.6% and 0.6% respectively. Investor caution also exists ahead of Fed Chair Janet Yellen testifying before the Senate Banking Committee later today. All interested parties will be looking for any sign when the Fed may be likely to raise interest rates. This uncertainty keeps the markets inside the current trading range. Any results that clarify these outcomes are sure to move the markets directionally.
The British Pound is trading at 1.5434 at the moment. Cable has traded as low as 1.5429 while the high has been 1.5466. The range has been quite narrow for Cable today. With a fair amount of caution shown towards the Greek bailout resolution combined with little fresh economic data out of the UK today, Sterling remains range bound. The Greek situation is the greatest cause of concern for all of Europe at the moment. It is still unclear whether or not Greece can acquire the amendments to the bailout package that they are looking to get. Their proposals are yet to be presented to their lenders who may still opt to refuse these new initiatives. Thus the uncertainty persists. Fear of a default by Greece puts added pressure on the EU as other member counties have their own financial concerns and problems to deal with. An exit by Greece could pave the way for other counties to make such a move and this would be perilous for the EU. Having the member nations retain their commitment to the EU is of utmost importance.
The Japanese Yen is trading at 119.44 currently. USD/JPY has traded as low as 118.76 while the high has been 119.60. Earlier in the morning in the Asian session, Japanese SPPI was posted worse than expected with 3.4% while forecasts were anticipating 3.6%. This data helped the US Dollar push progressively higher today. At the moment the Dollar is poised to push even higher with uncertainty in Europe and testimony from Fed Chair Janet Yellen to the Senate Banking Committee to come later today. No scheduled economic data is to be released in Japan until Friday morning which means forces outside of Japan will dominate the directional movement it will make. At the moment the Us Dollar holds a stronger position because of the uncertainty that currently exists in the market.
AUD/USD is trading at 0.7754 with the low being 0.7739 while the high has been 0.7807.
USD.CAD is trading at 1.2639 with the low being 1.2563 while the high has been 1.2663.
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.