The US dollar strengthened across the board as news released that Dubai is attempting to delay accumulated debt. Dubai World, a state company of Dubai with $59 billion of liabilities, said this week it will delay repayment of its debt. The move caused investors to sell higher-yielding assets and move their funds back into the safe haven of the dollar.

Look for trade to remain volatile in a holiday-thinned market after being closed yesterday for the Thanksgiving Day holiday.

The euro fell below the key psychological level of 1.50. Initially the currency fell to its 50-day moving average, but managed to recover assisted by European shares which rose 1 percent from intraday lows.

Sterling fell to a one-month low against the dollar and euro amid concerns over the fragile UK banking sector. London's leading index the FTSE was up 0.8 percent after falling sharply earlier in the session. Investors are starting to price in a budget downgrade from British Finance Minister, Alistair Darling when he presents his pre-budget report next month.

The Japanese yen reached another multi-year high today, as USDJPY traded below the 85 level. The strong yen has prompted the Japanese Ministry of Finance, Minister Fujii to intervene verbally stating that he will establish contact if necessary with other governments regarding the yen's level of strength.

The Canadian dollar weakened coming close to a three-week low versus the greenback as oil dropped 5 percent to $74 a barrel. In other news, Canada's current account deficit widened to C$13.12 billion in the third quarter, after posting a C$11.2 billion deficit in the second quarter.

The Australian and New Zealand dollars fell as commodity prices weakened with gold touching $1,170/oz prompting investors to move their money out of riskier assets. Look for the move to be temporary as investors look towards continued rate hikes from the Reserve Bank of Australia.

      

Indicative rates:

EUR/USD

1.4998

USD/JPY

86.49

GBP/USD

1.6523

USD/CAD

1.0603

USD/MXN

12.9135

USD/CHF

1.0032

AUD/USD

0.9010

NZD/USD

0.7133

10-Year Treasury Note Yield: 3.229%

Dow Jones Industrial Average: 10,325.34 - 137.85