AceTrader 1-wk TRIAL
www.AceTraderFX.com 24-Hr Real-time Signals Consistent Performance Intra-day, Daily, Weekly. with Email Alerts Function Try 1-week for $25 USD
***********************************************************
Market Review - 08/11/2007 21:50 GMT
Dollar falls as Bernanke paints a gloomy outlook for the U.S. economy
The greenback fell against the Japanese yen and the single currency after Federal Reserve Chairman Ben S. Bernanke said the U.S. economy is likely to ‘slow noticeably’, adding speculation of further interest rate-cut later this year. Federal Reserve Chairman Ben Bernanke said the U.S economy has been resilient in the face of credit market strains but it faces risks on both the downside risks to economic growth and ‘important upside risks’ to inflation, citing oil and other commodity price increases and a drop in the dollar’s value.
The British pound rallied to a fresh 26-year high of 2.1172 before trading sideways later in the day on dollar’s broad-based weakness although the Bank of England kept interest unchanged as expected at 5.75%. The ECB also kept its key rate steady at 4 % and the single currency rebounded against the U.S. currency from 1.4615 to 1.4705 after ECB President Jean-Claude Trichet said he remains concerned about inflation risks in the euro region. However, investors were reluctant to push euro higher as Trichet said current foreign exchange markets were undoubtedly sharp and abrupt and indicated brutal moves were never welcome.
The greenback fell against after meeting renewed selling at 113.38 to 112.22 due to cross buying in Japanese yen on the initial selloff in U.S. stocks before rebounding in late U.S. session as Dow Jones closed down 34 points despite early over 230 points losses. The Australian dollar and New Zealand dollar rebounded briefly to 0.9332 and 0.7806 against the U.S. currency after early selloff to 0.9190 and 0.7667 in Australian morning on Thursday.
Friday will see the release of Japan’s industrial production and capacity utilization, German WPI, U.K. trade balance, U.S. trade balance and University of Michigan survey.
***********************************************************
Market Review - 08/11/2007 21:50 GMT
Dollar falls as Bernanke paints a gloomy outlook for the U.S. economy
The greenback fell against the Japanese yen and the single currency after Federal Reserve Chairman Ben S. Bernanke said the U.S. economy is likely to ‘slow noticeably’, adding speculation of further interest rate-cut later this year. Federal Reserve Chairman Ben Bernanke said the U.S economy has been resilient in the face of credit market strains but it faces risks on both the downside risks to economic growth and ‘important upside risks’ to inflation, citing oil and other commodity price increases and a drop in the dollar’s value.
The British pound rallied to a fresh 26-year high of 2.1172 before trading sideways later in the day on dollar’s broad-based weakness although the Bank of England kept interest unchanged as expected at 5.75%. The ECB also kept its key rate steady at 4 % and the single currency rebounded against the U.S. currency from 1.4615 to 1.4705 after ECB President Jean-Claude Trichet said he remains concerned about inflation risks in the euro region. However, investors were reluctant to push euro higher as Trichet said current foreign exchange markets were undoubtedly sharp and abrupt and indicated brutal moves were never welcome.
The greenback fell against after meeting renewed selling at 113.38 to 112.22 due to cross buying in Japanese yen on the initial selloff in U.S. stocks before rebounding in late U.S. session as Dow Jones closed down 34 points despite early over 230 points losses. The Australian dollar and New Zealand dollar rebounded briefly to 0.9332 and 0.7806 against the U.S. currency after early selloff to 0.9190 and 0.7667 in Australian morning on Thursday.
Friday will see the release of Japan’s industrial production and capacity utilization, German WPI, U.K. trade balance, U.S. trade balance and University of Michigan survey.
***********************************************************
