USD slaughters euro and commodities
The euro (EUR) recorded
losses against most of its major counterparts as the news from Greece
heightened risk aversion. The final round of talks on forming a coalition
government yesterday produced no breakthrough. The debt-ridden nation will now
proceed with new elections in June. As the ongoing drama unfolds, fear and
uncertainty concerning the eurozone future of Greece take over. There were
reports that on Monday, 700 million EUR where withdrawn from Greek banks. Against
the US dollar, the single currency dived
to 1.2734 – a 5-month low - from 1.2830. European Central Bank (ECB) President
Draghi is due to deliver a speech on “Monetary Policy in Unconventional Times”,
a rather interest topic that is expected to capture the attention of investors
worldwide.
The US dollar (USD) appeared
strong versus a basket of currencies as Retail Sales grew at a slower pace and
Business Inventories decreased in April. The seemingly constant threat of Greek
leaving the eurozone and its potential domino impact, heightened risk aversion
and favored risk haven buying of the greenback for yet another day. Against the
Canadian dollar (CAD), the US dollar
rose to 1.0070 from 1.0022. Versus the Swiss
franc (CHF), the greenback surged to 0.9431 from 0.9360. Market
participants are expected to tune in on the Federal Open Market Committee
(FOMC) Minutes release due at 18:00 GMT, later today.
Oil prices dropped to 92.97 – a level last seen in December 2011 - from
93.93 dollars a barrel. Gold (XAU) plunged
to 1543.00 – a fresh 5-month low - from 1558.34 US dollars an ounce. Against the euro, gold dived to 1213.08 from 1214.04 euro an ounce. Silver (XAG) moved down to a new low at
27.6497 from 28.2059 dollars an ounce. Stay
in tune throughout the day with!
|
OUTLOOK ◘
|
|
Pivot
|
Preference1
|
Sentiment2
|
|
|
EURUSD
|
1.2810
|
SHORT @ 1.2810
|
§ 64% of deals buy EUR
|
|
|
USDJPY
|
80.10
|
LONG @ 80.10
|
§ 80% of deals buy USD
|
|
|
GBPUSD
|
1.6050
|
SHORT @ 1.6050
|
§ 63% of deals buy GBP
|
|
|
AUDUSD
|
0.9950
|
SHORT @ 0.9950
|
§ 80% of deals buy AUD
|
|
|
GOLD
|
1552
|
SHORT @ 1552
|
§ 77% of deals buy GOLD
|
|
|
OIL
|
93.40
|
SHORT @ 93.40
|
§ 87% of deals buy OIL
|
1data generated by Trading Central™,2data obtained from easy-forex Inside Viewer™
|
CALENDAR◘
|
Currency
|
Time (GMT)
|
Event
|
Forecast
|
|
|
GBP
|
08:30
|
Claimant
Count in April
|
5k
|
|
|
EUR
|
09:00
|
Consumer
Price Index (CPI) Final m/m in April
|
0.5%
|
|
|
USD
|
12:30
|
House
Starts in April
|
0.68
mil
|
|
|
USD
|
14:30
|
Crude
Oil Inventories
|
1.5
mil
|
|
EQUITIES ◘
|
EUROPE
|
|
US
|
|
ASIA3
|
|
|
|
FTSE 100
|
-0.51%
|
▼
|
S&P 500
|
-0.57%
|
▼
|
NIKKEI
|
-1.31%
|
▼
|
|
|
DAX
|
-0.79%
|
▼
|
DJIA
|
-0.50%
|
▼
|
HIS
|
-2.70%
|
▼
|
|
|
CAC 40
|
-0.61%
|
▼
|
NASDAQ
|
-0.30%
|
▼
|
CSI 300
|
-0.82%
|
▼
|
3at the time of writing
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