Session Recap: Winds of War in a lackluster day (San Francisco) - The Forex market traded another lackluster summer day on Monday as volume was tight and the risk aversion was fueled by the US plans to intervene in the Syrian conflict.

As the chief analyst Valeria Bednarik commented in a recent report, "the dollar suffered a kneejerk after worse than expected US Durable Goods Orders, although managed to recover the ground lost along the US session and closes the day with modest gains against most rivals."

Currencies were shaken following the Secretary Kerry speech on Syrian use of chemical weapons but movements were limited and consequently US plans to intervene in Syria. "It's too late to be credible" said Kerry.

The EUR/USD traded lower on the day around 1.3365. The GBP/USD performed its first positive day in the last 4 with the cable pretending to trade above 1.5600 but being rejected to 1.5575. The USD/JPY eased a little more and it is closing around 98.45.

The USD/CAD continues with its bearish correction from 1.0550 and now it is closing around 1.0505. However the pair always priced about the 1.0500 key level. The AUD/USD was rejected by the 0.9070 are with the Aussie ending the day around 0.9025.

Wall Street erased early gains and wrapped up negative on the day. Bond yields rise on the weakest durable goods report in almost a year and the Gold rose above $1,400, first time since early June.

Main headlines in the American session:

US: Durable Good Orders fell 7.3% in July

US: Dallas Fed Manufacturing Business Index rises to 5.0 in August

White House says there is ‘very little doubt in our mind’ that Syrian govt responsible for using chemical weapons

US Treasury Secretary Lew: Says US to reach debt limit by mid-October

Wall Street closes down on weak US data and winds of war

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