PDA

View Full Version : Euro Hits Considerable Valley



arenas_11
05-13-2005, 12:56 PM
The euro has lately been traded as low as $1.2618. Performance of the euro is to blame US data that is vigorous. Data will lead into the Federal Reserve preserving its path of tightening. Rates will continue to grow international investors' desire . By reaching a high against the euro in addition to outshining the franc as well as sterling, the dollar is on a base suggesting that the US market is on ground. However, for how long will this situation continue?

The market didn't respond (through the buck) much to information demoning US import prices grew by 0.8 percent in April surpassing analyst predictions. Nonetheless, the greenback struck on a plateau that was shortlived and attained pips. Fund managers will keep your eye on the value of their metal baskets. The cost of gold was inversely proportional to the buck for the past several decades. Gold will fall after the greenback climbs. Thursday's launch of the University of Michigan consumer sentiment index, from April's worth of 87.7 to May's worth of 85.3, had only a slight influence on the greenback.

Together with a decreased US trade deficit in March, powerful US retails sales in addition to last week's jobs report seem to be contributing to some strong US dollar. But the question remains regarding how long does this last.