USD further declines, EUR/USD above 1.3400

The U.S. dollar had partly strong losses against its major counterparts, the euro could in almost all peers report profits. The market direction, indicated today, suggests that investors increasingly see the euro as a safe haven against the USD. The U.S. economic data last fell short of expectations, lead to greater uncertainty among investors who currently see the greater potential for growth in the euro area, while continuing to wait for a clear signal about the future course of the Fed in September.
To support the euro also contributes that European investors pulling money out of Asian currencies strengthened back into which they had invested due to the weak dollar. Background is the expected reduction of bond purchases by the Fed in the coming months.

The EUR rose against the USD rose by 0.67% at a current rate of 1.3424, the highest level in two months. The GBP currently losing 0.49% at 0.8562 to the EUR and the JPY 0.34% at 130.55. Biggest loser among the majors and the Euro are the AUD and CAD, the pair EUR/AUD is currently showing an increase of 0.92% at a price of 1.4763, and the pair EUR/CAD shows currently a growth of 1.00% recorded at a rate of 1.3933.

The USD lost 0.18% currently to GBP and the GBP / USD reached 1.5677, the highest level since the 18th June and the depreciation of the USD against the JPY is currently 0.27% with a rate of 97.30.
Only against the CAD the USD recorded a gain  in the majors after the canadian numbers for the wholesale sales today are worse than expected and the outlook for retail sales on Thursday are rather negative. The USD / CAD was down by 0.33% currently at a price of 1.03795.

Risk Warning / Disclaimer
The opinions of the author to market behavior do not constitute a solicitation to buy or sell any financial products, but are merely a personal opinion. When you go into the trade in leveraged financial products, you must be aware that a loss up to the amount of your deposit and in addition, can also be an obligation to arise. Make yourself familiar with the active trade or get independent advice before you invest your own money and use only invest money that you can get over the worst case.

The US-Dollar is ranging before the Fed-Minutes on Wednesday

The Dollar held steady on Monday as investors refrained from bets on the currency before the publication of the US Federal Reserves (FED) minutes on Wednesday. It is expected that the minutes might give a more clear indication on the pace and timing of FED’s plan to trim its bond buying program. Analyst consensus is that tapering could start in September. The Dollar index, DXY, was flat.  EUR/USD trades at 1.3348  and USD/JPY is at 97.97.

Higher yields on Dollar denominated bonds have made the Dollar more attractive over the last few days, but this has been blunted by a promising improvement in the Euro zone and UK economies which have underpinned the Euro and Sterling.  Data last week showed that both the German and French economies were growing faster than expected in the second quarter.  EU manufacturing and services data are going to be published on Wednesday and give a more clear indication as to whether the Euro zone is pulling out of recession.

The data will have an impact on the strength of the Euro, which is expected to falter against the Dollar in the upcoming trading sessions. That could mean that Dollar would start to attract demand against the Euro.  The Dollar might also be in for a new test against the Japanese Yen.  If the August 15th peak of 98.66 Yen is broken, there might be retest on the August high of 99.955 Yen.  Oil and precious metal prices are keeping steady at the high levels seen on Friday.  Brent trades at USD 110.55 a barrel and gold stands at USD 1376.

Stock markets in Europe continue to be under pressure with France, Germany, and England indexes trading down. There was a weak start in the equity market in Asia with Asian Pacific index in red territory the first day of the week. The unrest in Egypt continues with new clashes between Mursi-supporters and the police, claiming an unconfirmed 1000 lives taken until now. US politicians claim there has been a halt in the US billion Dollar military help to Egypt.

Risk Warning / Disclaimer
The opinions of the author to market behavior do not constitute a solicitation to buy or sell any financial products, but are merely a personal opinion. When you go into the trade in leveraged financial products, you must be aware that a loss up to the amount of your deposit and in addition, can also be an obligation to arise. Make yourself familiar with the active trade or get independent advice before you invest your own money and use only invest money that you can get over the worst case.

Euro rises after the German Bundesbank says higher interest are possible

The European currency is up today against all its counterparts, after the German Bundesbank did not rule out higher interest rates of the ECB in its monthly report, if the inflationary pressures in the euro zone should be too strong. After the price of the euro had fallen in July by the statements of the ECB President Mario Darghi, the ECB would keep interest rates long term at the current low level or below, the observation of a possible increase, brought in written monthly report of the largest national central bank of the euro zone, is a support for the common currency.

The strongest growth the EUR recorded against the japanese Yen, which is based due to the figures released today to the japanese trade balance. This shows a deficit of -0.94 T. The EUR / JPY is currently showing an increase of 0.53% at a price of 130.76.
Against the other majors, the EUR also was up. The pair EUR/USD is currently at 1.3354, which represents an increase of 0.20%. To the GBP, the EUR rose 0.04% at a current price of 0.8533.

Risk Warning / Disclaimer
The opinions of the author to market behavior do not constitute a solicitation to buy or sell any financial products, but are merely a personal opinion. When you go into the trade in leveraged financial products, you must be aware that a loss up to the amount of your deposit and in addition, can also be an obligation to arise. Make yourself familiar with the active trade or get independent advice before you invest your own money and use only invest money that you can get over the worst case.

Preview of important economic events from 19-August-2013 to 23-August-2013

Here we show you a preview of the most important economic events in the next week, which can have a major influence at the Forex-Market.

Aditional to the data, which are mentioned below in the table, coming into this week a variety of data, which are usually individually don't have a large influence on the movement of the market, but when they are published in a timely manner to each other, in the sum could have greater impact. You'll find all this events in the economic calendar.