UFXBank Forex News: Pound Jumps on Good Construction Report | Learn Forex | GoLearnForex.com

UFXBank Forex News: Pound Jumps on Good Construction Report

Written by article default Thursday, 03 March 2011 09:07

USD Dollar (USD) – The Dollar fell versus the major currencies of Forex trading as Federal Reserve Chairman Ben S. Bernanke wouldn’t rule out another round of asset purchases to spur the economy. ADP Nonfarm Employment came out at 217K, better than the expected 163.00K. The Stock Markets in the U.S closed positive as the Dow Jones rose by 0.07% and the NASDAQ strengthened by 0.39%. Crude Oil jumped by 2.6% and closed at $102.23 per barrel. Gold (XAU) reached a new record at $1440.45, but fell back to close at $1434.40 an ounce. Today, Initial Jobless Claims are expected at 400K vs. 391K previously, and Nonfarm Productivity (QoQ) is expected at 2.30% vs. 2.60% prior.

Euro (EUR) - The euro gained versus most of the major currencies after a report showed that European producer-price inflation accelerated, adding to speculation that the central bank will signal a tightening of monetary policy at its meeting. The Euro broke the resistance level at 1.3850 and closed above this level. The next resistance on the daily chart is located at 1.4000, and if the rate will fall under 1.3850, we can expect it to fall until 1.3700. Overall, EUR/USD traded with a low of 1.3742 and with a high of 1.3889. Today, The GDP (QoQ) is expected unchanged at 0.30%,the interest rate is expected unchanged at 1.00%, and the ECB press Conference is expected to take place.

EUR/USD – Last:  1.3858

British Pound (GBP) – The pound strengthened against the dollar as an industry report showed that U.K. construction grew at its fastest pace in eight months in February. According to the daily chart, the next resistance is located at 1.6370, and if the pair breaks this level, it could continue to 1.6430. Overall, GBP/USD traded with a low of 1.6214 and with a high of 1.6343. Today, no major economic data is expected.

GBP/USD - Last: 1.6326

Japanese Yen (JPY) – The Yen closed almost unchanged against the greenback. Capital Spending came out at 3.80%, worse than the expected 5.90%. Breaking the support level of 81.60 might extend the decline in the pair until 81.00. Overall, USD/JPY traded with a low of 81.55 and with a high of 82.10. No major economic data is expected today.

USD/JPY-Last: 81.83

Canadian dollar (CAD) – The Canadian Dollar gained against its U.S. counterpart for the fifth time in six days as oil, the nation’s largest export, advanced above $100 a barrel. Holding below the support level of 0.9775 might extend the decline in the pair. Overall, USD/CAD traded with a low of 0.9707 and with a high of 0.9754. No major economic data is expected today.

USD/CAD - Last: 0.9730