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Forex-Metal Daily Analysis - 26/08/10
Written by article default Thursday, 26 August 2010 13:55
The stream of negative US fundamentals continues.
Asian and European trading sessions:
Euro: The published on Wednesday German IFO – business climate index for August increased and turned out to be above the forecast (106.7 against expectations of 105.7 and previous mark of 106.2). Therefore the euro received temporary support.
The EUR/USD rate reached its trading day maximums at the $1,2730 mark.
US Dollar: Negative US fundamentals continued to pressure market participants trading through the Wednesday trading as well. Durable goods orders dropped to 0.3% against the expectations of 3.0%. The US new home sales for July decreased unexpectedly for 12.4% against the forecast of 0.00%.
Swiss Frank: Swiss frank managed to strengthen against the euro as the Standard & Poor’s credit agency reduced the credit rating of Ireland to AA level. As a result, the Euro-zone budget problems became relevant again.
British Pound: The sterling traded in the range of $1,5390-$1,5450.
Australian Dollar: The released positive German fundamentals rendered support for the Australian dollar against the greenback as well.
Japanese Yen: According to the speculations, the Japanese government would undertake special measures, aimed to restrict further consolidation of the national currency. And Japanese yen reacted with a decrease.
The USD/JPY pair grew and reached Y84,50.
Oil: The oil rate rehabilitated from the previously reached minimums and traded around the $71.75 price per barrel. Publication of the weak US fundamentals pressured the oil prices again, and the price dropped to $71.12 per barrel.
Gold: The yellow metal rate managed to stabilize around the $1237.50 mark per ounce after a very volatile trading.
American trading session:
Euro: The euro managed to show temporary stabilization against the background of the released negative US real estate data.