Cyber Monday Deal: Up to 60% off InvestingProCLAIM SALE

Forex - Dollar under pressure as risk appetite rises

Published 01/13/2013, 09:44 PM
Updated 01/13/2013, 09:45 PM
EUR/USD
-
GBP/USD
-
USD/JPY
-
USD/CHF
-
AUD/USD
-
USD/CAD
-
NZD/USD
-
Investing.com - The U.S. dollar was lower against all but one of its major rivals to start the week in Asian trading as traders bid up a slew of riskier currencies against the greenback.

In Asian trading Monday, EUR/USD soared 0.42% to 1.3399. Monday’s gain for EUR/USD comes on the heels of a 2.67% pop last week.

EUR/USD was boosted by the European Central Bank’s decision last Thursday to keep its benchmark interest rate unchanged at 0.75%. The dollar fell to nine-month low against the euro ahead of a monetary policy speech by Federal Reserve Chairman Ben Bernanke later today.

GBP/USD added 0.1% to 1.6149 after advancing 0.37% last week. Sterling is likely to find support at 1.5991, Wednesday’s low and resistance at 1.6178, Friday’s high.

The yen was the one major that the greenback was spotted higher against as USD/JPY advanced 0.39% to 89.54. Ahead of Bank of Japan Governor Masaaki Shirakawa’s speech later today, the yen sank to its lowest levels since 2010.

Traders are still calling for a correction to the upside for the yen, but most do not foresee that happening until after the Bank of Japan’s meeting later this month. Japanese financial markets are closed today due to a national holiday.

Elsewhere, USD/CHF slipped 0.11% to 0.9126. The pair is likely to find support at 0.9082, the low of December 20 and a seven-month low and resistance at 0.9267, Thursday’s high. On the back of sturdy oil prices, USD/CAD fell 0.11% to 0.9840.

Despite another concerning economic data point in Australia, AUD/USD rose 0.09% to 1.0547. The number of new home loans granted in Australia fell unexpectedly last month, official data showed on Monday.

In a report, Australian Bureau of Statistics said that Australian home loans fell to a seasonally adjusted -0.5%, from 0.1% in the preceding month. Analysts had expected Australian home loans to rise 0.3% last month.

NZD/USD surged 0.27% to 0.8390 while the U.S. Dollar Index fell 0.21% to 79.44.


Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.