With Japan back in the game after a long Golden Week vacation, the start of the week in Asia saw the US Dollar continue to lose footing just as it did last week. As the economic horizon continues to look sunnier, the trades continue to get riskier, and the dollar is the currency that is the victim of it all. The EUR/USD continued to drive higher as traders look to get out of Dollar positions, as evidenced by the 1.3250 price we saw about this time on Friday as compared to the 1.3669 high we saw just a few hours ago. GBP/USD looked to make gains early in Asia reaching 1.52440, but could not sustain as the pair dipped below the 1.5200 level as the session came to a close. USD/JPY saw a gap higher on the open and a high over 98.80 easily erased as the day wore on.....The Yen eventually strengthened to 98.17 before the pair leveled out near 98.40 as London's trade day began. If the US Dollar has been the loser, the Australian and New Zealand dollars have clearly been the winner as of late as both Pacific currencies have benefitted by the thirst for higher yields. AUD/USD hit a high today that hasn't been seen since October of 2008, touching 0.7011 at its high, 0.7650 at the low, and looked to end the Asian day right near 0.7070. NZD/USD has an even smoother run straight up today, opening near 0.6030 and reaching 0.6110, and that's a level not seen since November of 2008. Although these moves seem like a sure thing as the US Greenback remains a punching bag, it's safe to say that profit taking can poke it head up at any given moment.......
Upcoming Economic Data Releases (London Session) prior expected
| 5/11/2009 | 6:45 | FR | Industrial Production (MoM) | MAR | -0.50% | -0.50% |
| 5/11/2009 | 6:45 | FR | Industrial Production (YoY) | MAR | -15.50% | -14.60% |
| 5/11/2009 | 6:45 | FR | Manufacturing Production (MoM) | MAR | -0.10% | -0.50% |
| 5/11/2009 | 6:45 | FR | Manufacturing Production (YoY) | MAR | -17.80% | -16.10% |
| 5/11/2009 | 12:30 | CA | New Housing Price Index MoM | MAR | -0.70% | -0.50% |
