Market News

Investor hopes were all but dashed for a rate hike from the ECB later this week following the release of lackluster data from the German industrial sector.

In Asian trading today, the common currency Euro recouped earlier losses against the U.S. Dollar, yet investors remain jittery following a rise in the yields on U.S. Treasury instruments.

The common currency Euro is under pressure in Asia today following yesterday’s ECB policy meeting.

As violence erupts on the streets of Cairo, the Euro is falling against the perceived safety of the U.S. Dollar and Japanese Yen as investors beat a hasty retreat from higher risk, commodity-based currencies.

In Asian trading today, the common currency Euro rose to its highest price in almost three months against the safe haven U.S. Dollar on renewed investor risk appetite.

The common currency rebounded close to a 2-month peak against the U.S. Dollar in Asian trading following news that Eurozone inflation levels surged, with speculation that the European Central Bank might move to raise interest rates sooner than later.

DailyForex has your coverage of how Egyptian rioting and unrest will impact the Forex markets. Don’t trade Forex without reading these updates.

High risk currencies fell broadly in Asian trading today on investors concern that growing unrest in Tunisia and Egypt could trigger further violence in the Middle East.

In Asian trading, the Japanese Yen managed to recoup some of its earlier losses against the U.S. Dollar following the credit rating downgrade of Japanese sovereign debt by Standard & Poor’s. As reported at 12:54 p.m. (JST) in Japan, the U.S. Dollar traded lower against the Yen at 82.70 Yen, down from 82.90 Yen during late New York trading yesterday, well off the 83.22 Yen immediately after the announcement.

The U.S. Dollar remains close to a 2 month low against the common currency Euro following the conclusion of yesterday’s U.S. Federal Open Market Committee meeting.

The U.S. Dollar Index held close to a 10-week trough in Asian trading today, as market players await confirmation that economic growth will remain the focus for the U.S. Federal Reserve.

In Asian trading today, the Australian Dollar tumbled against major rivals following the release of consumer inflation data which came in below economists’ expectations, and which sent a signal to investors that the Reserve Bank of Australia is unlikely to raise interest rates any time soon.

The common currency back off of a 9-week peak against the U.S. Dollar in Asian trading today, as profit takers sold off their short term holdings in the currency.

The Euro moved closer to the recently struck 2-month peak versus the U.S. Dollar in Asian trading today, and market players expect to see further gains as sentiment for the common currency turned favorable.

In early afternoon trading in Tokyo, the common currency Euro slipped against the U.S. Dollar and the Japanese Yen, but is expected by some dealers to rebound later when data from China confirms a strongly growing economy.