European Session – Euro steady above $1.30, supported by lower Spanish bond yields
April 18, 2013 2:28 pm
Markets remains cautious today following from yesterday’s risk off sentiment caused by concerns over a deceleration in global growth. Most currency pairs have stabilized and are consolidating at yesterday’s levels.
Dollar is only slightly weaker as euro edged up a tad in the European session. However euro remains vulnerable and is struggling to regain yesterday’s losses brought on by dovish comments by Jens Weidmann, President of the Bundesbank and ECB executive board member.
Weidmann suggested that the ECB would consider cutting interest rates further if the situation warranted it.
EURUSD traded within a range of $1.3030 and $1.3075. On Wednesday the pair fell to a low of $1.3000. A Spanish debt auction resulted in lower borrowing costs auction and German lawmakers approved the euro zone’s bailout for Cyprus. This news helped support euro for the near term.
Sterling was initially weakened by disappointing UK March retail sales which unexpectedly fell by 0.7 percent. Going into the US session, GBPUSD jumped to $1.5296 from $1.5252.
The yen is weak, having lost 0.2 percent since yesterday’s close of the US session. USDJPY has broken bullishly back above Monday’s open to hit a high of 98.51 yen today.
Japan released a narrower than expected trade deficit of 362 billion yen, with exports rising 1.1 percent year over year. Meanwhile
Markets remains cautious today following from yesterday’s risk off sentiment caused by concerns over a deceleration in global growth. Most currency pairs have stabilized and are consolidating at yesterday’s levels.
Dollar is only slightly weaker as euro edged up a tad in the European session. However euro remains vulnerable and is struggling to regain yesterday’s losses brought on by dovish comments by Jens Weidmann, President of the Bundesbank and ECB executive board member.
Weidmann suggested that the ECB would consider cutting interest rates further if the situation warranted it.
EURUSD traded within a range of $1.3030 and $1.3075. On Wednesday the pair fell to a low of $1.3000. A Spanish debt auction resulted in lower borrowing costs auction and German lawmakers approved the euro zone’s bailout for Cyprus. This news helped support euro for the near term.
Sterling was initially weakened by disappointing UK March retail sales which unexpectedly fell by 0.7 percent. Going into the US session, GBPUSD jumped to $1.5296 from $1.5252.
The yen is weak, having lost 0.2 percent since yesterday’s close of the US session. USDJPY has broken bullishly back above Monday’s open to hit a high of 98.51 yen today.
Japan released a narrower than expected trade deficit of 362 billion yen, with exports rising 1.1 percent year over year. Meanwhile
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