EUR/USDUSD/JPYGBP/USDUSD/CHF
1.4845(M)90.42(M)1.6127(S)1.0360(M)
Resistance1.4804(M)89.91(M)1.6080(M)1.0306(M)
1.4763(M)88.85(M)1.6049(M)1.0288(M)
1.4686(M)88.60(M)1.5805(M)1.0238(M)
Support1.4645(M)88.23(S)1.5770(S)1.0207(M)
1.4582(M)88.00(M)1.5515(M)1.0170(M)

The greenback declined to its lowest level in almost two weeks versus the euro after Australia’s central bank unexpectedly raised interest rates on signs of economic strength, spurring demand for higher yielding assets. The Canadian dollar advanced as much as 1.4 percent to C$1.0547, the strongest level since October 2008. The currency, like the Australian dollar, tends to rise and fall with stocks and commodities.
The Aussie advanced 27 percent in 2009, while the Canadian dollar appreciated 15 percent. The greenback fell earlier versus the euro after the U.K.’s Independent newspaper, citing unidentified sources, said Persian Gulf states and Japan, Russia and China discussed dropping the U.S. currency for oil trades. The AUD/USD is currently trading at 0.8895 as of 21:15PM, London Time.

The yen earlier gained against the dollar after Japan’s Finance Minister Hirohisa Fujii said at a news conference in Tokyo today that he told officials from the Group of Seven nations meeting in Istanbul last weekend that governments shouldn’t pursue policies that seek to devalue their currencies. Fujii said after taking office last month he didn’t support a weak currency. Last weekend in Istanbul, he said that Japan would “take action” if currencies show excessive moves. The yen gained 15 percent against the dollar in the past year, hurting earnings for export-dependent Japanese companies. The USD/JPY is currently trading at 88.85 as of 21:25PM, London Time.

Sterling hit a five month low against a currency basket and a one week low against the euro on Tuesday after an unexpected fall in UK manufacturing output raised doubts about the British economy's recovery prospects. Traders brushed off other data showing a 1.6 percent monthly rise in UK house prices and an increase in new car sales in September. Analysts said the market was caught off guard by the weak production headlines, sending many players rushing to cover short dollar positions taken earlier in the day. Some added that the market was prone to react strongly to weak data. The GBP/USD is currently trading at $1.5910 as of 21:41PM, London Time.


Today's Economic Events

Time Event Currency/Country Period Previous Forecast Significance Actual
23:50Current Account Balance - BoPJPY/Japan1.272
23:50Capital Account Balance - BoPJPY/Japan-76.92
23:50Foreigners Buying Japan Bonds (Yen)JPY/Japan-628.32
23:50Foreigners Buying Japan Stocks (Yen)JPY/Japan-1252
23:50Japan Buying Foreign Bonds (Yen)JPY/Japan1010.73
23:50Japan Buying Foreign Stocks (Yen)JPY/Japan18.73
21:30BRC Shop Price Index (Y-o-Y)UKYearly-0.13
19:00Consumer CreditUSD/United States-21.64
14:30EIA Crude Oil Inventory (Barrels)United States338.42
14:30EIA Crude Oil PriceUSD/United States68.433
11:00MBA Mortgage ApplicationsUnited States-2.82
10:00Factory Goods Orders (M-o-M)GermanyMonthly3.51.121.4
9:00GDP (Q-o-Q)EurozoneQuarterly-2.5-0.12-0.2
9:00GDP (Y-o-Y)EurozoneYearly-4.9-4.73-4.8
9:00Household Consumption (Q-o-Q)EurozoneQuarterly-0.52
9:00Gross Fixed Capital FormationEurozone-4.14
9:00Government Expenditure (Q-o-Q)EurozoneQuarterly0.22
5:45Unemployment RateSwitzerland 42
5:00Leading IndexJapan82.583.3283.3
5:00Coincidence IndexJapan89.84
5:00Lagging IndexJapan82.83
4:00Nationwide Consumer ConfidenceUK633
4:00Official Foreign Reserves€/Germany115.313
0:30Home LoansAustralia-24
0:30Investment LendingAustralia-44
0:30Value of Loans (M-o-M) AustraliaMonthly-1.73