With trading volume in the currency markets expected to be exceedingly light given the holiday related closure of financial markets in much of the world, the US Dollar still managed to firm against its rivals. FX traders pushed the greenback higher against the Japanese Yen and the Euro, largely as a result of the improving US economy. At the same time, the Dollar moved lower against the Canadian Loonie, which benefited from the more than 2% hike in crude oil prices. It was reported over the weekend that the US government threatened sanctions against those countries who continue to import oil from Iran.
As reported at 11:25 am (GMT) in London, the USD/JPY was trading higher at 111.9210 Yen, a gain of 0.0098%; the pair has ranged from a trough of 111.856 Yen to a peak of 111.992 Yen. The EUR/USD was trading higher at $1.1251, up 0.0534% and off the session low of $1.12358 while the high was recorded at $1.12520. The USD/CAD was trading lower at C$1.3356, down 0.2137% and off the session low of C$1.33553 while the high was recorded at C$1.33917.
Housing Data Eyed
The US financial markets are open today and traders will eye housing related data which will be released later this morning. Existing home sales are expected to have declined in March to 5.30M, down from 5.51M in the previous period. Another day light on economic fundamentals is expected tomorrow, with the majority of data once again related to the US housing market, including new home sales for March which analysts have predicted will fall from February's numbers.