In Asian trading today, the common currency Euro traded higher against the U.S. Dollar in spite of continuing investor concerns over escalating Eurozone debt problems.
The common currency Euro fell versus the U.S. Dollar in New York trading following the announcement earlier today by Fitch credit rating agency that Irish sovereign debt would be downgraded to BBB+, a reflection of the additional costs necessary to bail out the Irish economy and their troubled banking sector.
The U.S. Dollar retreated in Asian trading today, falling against the Japanese Yen and the common currency Euro as the recent gains in U.S. treasury bond yields dipped slightly lower.
The U.S. Dollar rose in early New York trading as U.S. Treasury bond yields continue to rise; 10-year instruments are currently yielding 3.25%, a 5-month high. Analysts are predicting that the greenback will continue to gain support through the conclusion of the 10-year auctions later today and tomorrow’s 30-year auctions.
A rise in yields on U.S. treasury instruments helped to boost the U.S. Dollar in Asian trading today. Yesterday, against the Japanese Yen, the greenback gained nearly 1%, the largest single day’s advance against the Japanese currency in almost 3 months, and today gained .4% to trade at 83.84 Yen.
In early morning trading in New York, the Canadian Dollar rose versus the U.S. Dollar in advance of the Canadian central bank’s interest rate announcement scheduled for later today.
The Japanese Yen struck a 3-week peak against the U.S. Dollar in Asian trading today
The USD on Monday regained some ground which was lost from a renewed focus on U.S. quantitative easing, and was helped by short covering, while the EUR fell back towards channel support ahead of a meeting of European finance ministers.
In early morning trading in New York, the U.S. Dollar is broadly higher and recouping some of last week’s late losses, supported by recent comments from the Federal Reserve Chairman who suggested the strong possibility that additional quantitative easing would be forthcoming.
In Asian trading today, the U.S. Dollar managed to recoup some of last Friday’s losses against the common currency Euro as investors once again turn their focus to the Eurozone’s fiscal worries.
In Tokyo trading today, the common currency Euro held steady against the U.S. Dollar, retaining most of the gains derived from yesterday’s rebound.
The Euro slipped lower against the U.S. Dollar following the European Central Bank’s announcement that interest rates would remain unchanged and that the current monetary policy was appropriate.
The common currency Euro is in a holding pattern in Asian trading today, as investors await the outcome of today’s ECB meeting.
The Canadian Dollar rose against the greenback in early trading in New York, as recent comments by the president of the European Central Bank encouraged investment into higher risk currencies.
The common currency continues to be put under significant pressure, today in Tokyo hovering near an 11-week trough versus the U.S. Dollar and the Japanese Yen, even as investors await word from the Eurozone policymakers on their next step to contain the Eurozone crisis.