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 - 08/04/2009 20:57 GMT
The greenback weakens against the yen on lower risk appetite
The dollar fell against the yen on Wednesday as risk appetite remained low on concerns over U.S. corporate earnings in the first quarter of this year, while volatile U.S. stock markets also increased the safe-haven appeal of the Japanese yen. In late New York session, the U.S. currency was trading at 99.60 versus the yen and the Dow Jones Industrial average closed up 47 points at 7,837.
Earlier in the day, the single currency came under pressure after Ireland reported its budget deficit would soar to more than three times the European Union limit to 10.8 percent of gross domestic product this year. The euro fell to a session low of 1.3147 versus the dollar and 0.8960 against the sterling before rebounding to 1.3309 and 0.9050 respectively in New York afternoon session before retreating.
The British pound hovered inside intra-day range of 1.4635-1.4750 against the dollar on Wednesday as investors await a policy decision by the BOE on Thursday, with the central back expected to leave U.K. interest rates on hold at 0.5 percent.
Minutes of the FOMC showed that Federal Reserve policy-makers agreed in their March 17-18 meeting that 'substantial additional purchases' of a range of longer-term assets was appropriate to deal with a steep drop in economic activity across all sectors.
On the data front, the Economy Ministry in Berlin reported that the decline in German factory orders was larger than economists' median forecast in February and posted a monthly drop of 3.5 percent and 38.2 percent from a year earlier after seasonal swings and inflation adjustment. Other reports from U.S. showed that sales at U.S. wholesalers rose in February for the first time in eight months, contributing to a record drop in inventories that indicates distributors are well on the way to eliminating the glut in stockpiles. Inventories at wholesalers posted a decline of 1.5 percent versus the consensus forecast of a decrease of 0.7 percent.
Economic data releases on Thursday include Japan machine orders, Australia unemployment data, Switzerland’s unemployment rate, German CPI data, industrial production and HICP data, U.K trade balance, PPI data and BOE rate decision, Canada unemployment rate, jobs-change, trade balance and new housing price index, and U.S. trade balance data and weekly jobless claims.
The greenback weakens against the yen on lower risk appetite
The dollar fell against the yen on Wednesday as risk appetite remained low on concerns over U.S. corporate earnings in the first quarter of this year, while volatile U.S. stock markets also increased the safe-haven appeal of the Japanese yen. In late New York session, the U.S. currency was trading at 99.60 versus the yen and the Dow Jones Industrial average closed up 47 points at 7,837.
Earlier in the day, the single currency came under pressure after Ireland reported its budget deficit would soar to more than three times the European Union limit to 10.8 percent of gross domestic product this year. The euro fell to a session low of 1.3147 versus the dollar and 0.8960 against the sterling before rebounding to 1.3309 and 0.9050 respectively in New York afternoon session before retreating.
The British pound hovered inside intra-day range of 1.4635-1.4750 against the dollar on Wednesday as investors await a policy decision by the BOE on Thursday, with the central back expected to leave U.K. interest rates on hold at 0.5 percent.
Minutes of the FOMC showed that Federal Reserve policy-makers agreed in their March 17-18 meeting that 'substantial additional purchases' of a range of longer-term assets was appropriate to deal with a steep drop in economic activity across all sectors.
On the data front, the Economy Ministry in Berlin reported that the decline in German factory orders was larger than economists' median forecast in February and posted a monthly drop of 3.5 percent and 38.2 percent from a year earlier after seasonal swings and inflation adjustment. Other reports from U.S. showed that sales at U.S. wholesalers rose in February for the first time in eight months, contributing to a record drop in inventories that indicates distributors are well on the way to eliminating the glut in stockpiles. Inventories at wholesalers posted a decline of 1.5 percent versus the consensus forecast of a decrease of 0.7 percent.
Economic data releases on Thursday include Japan machine orders, Australia unemployment data, Switzerland’s unemployment rate, German CPI data, industrial production and HICP data, U.K trade balance, PPI data and BOE rate decision, Canada unemployment rate, jobs-change, trade balance and new housing price index, and U.S. trade balance data and weekly jobless claims.
