An unexpected increase in Durable Goods Sales sent the Dollar rising against most of its major counterparts yesterday. Additionally, fresh deficit concerns in Greece and Portugal sent the Euro tumbling to nearly a 4 year low against the Dollar. Currently trading just below 1.2200, EUR/USD dropped as low 1.2160 last night. GBP/USD dropped from 1.4440 to 1.4375 before bouncing back to its current level 1.4395.
At the same time, things were not all good for the Dollar yesterday. USD/JPY was trading fairly moderately throughout the day before seeing a slight drop last night. The pair has been dipping below the 90.00 level throughout the night, which may indicate a downward trend is on the horizon.
Several U.S. economic indicators today are forecasted to send the Dollar higher. The Preliminary GDP Report and this week's Unemployment Claims Report are both expected to create heavy market volatility, and analysts are predicting both to show improvements over their respective previous readings. Should either of the indicators come in at or above expectations, trader can expect the greenback to receive a boost in afternoon trading.