US Fundamentals Ahead

The US dollar is currently steady as we wait later on this afternoon for the US fundamental data concerning housing sector to be released which will bring the greenback even lower as the predictions are not upbeat. The US dollar was downgraded as the Bank of America Corp., posted a 77% decline for its first quarterly earnings in which added to US economy fears as they see this as a sign that the housing sector has a while before it bottoms out.

The euro remains to gain strength against the greenback as the soaring of oil prices will give the ECB no chance to cut interest rates in fear of current inflationary pressure. Investors' market sentiment is increasing due to this fact, as they believe will remain to hold its grounds as the US dollar continues to fall. Still the euro is trading around the levels of 1.59 but currently has not breached the 1.60 while so far it recorded a high of 1.5938 and a low of 1.5834.

The BoE is strategizing to exchange government bonds for mortgage-backed securities in order to revive the economy, the plan worht 50 billion pounds, was not enough to satisfy the market since the current crisis reached to 1.2 trillion pound in the mortgage market in the UK. Today there is no fundamental data being released regarding the UK economy. Today the sterling is fluctuating between the levels of 1.9750s and 19870s while the GBP/USD pair recorded a high of 1.9845 and a low of 1.9745.

As for the yen it is stable against the US dollar as it is trading between 102.90 and 103.40 at 103.12 as the USD/JPY pair recorded a high of 103.26 and a low of 102.77.

Crown Forex

disclaimer:The above may contain information for investors/traders and is not a recommendation to buy or sell currencies, gold, silver & energies, nor an offer to buy or sell currencies, gold, silver & energies. The information provided is obtained from sources deemed reliable but is not guaranteed as to accuracy or completeness. I am not liable for any losses or damages, monetary or otherwise that result. I recommend that anyone trading currencies, gold, silver & energies should do so with caution and consult with a broker before doing so. Prior performance may not be indicative of future performance. Currencies, gold, silver &energies presented should be considered speculative with a high degree of volatility and risk.