The Dollar broke its recent trend yesterday, as the greenback strengthened against the EUR. Calls by Pacific nations for the Dollar to appreciate and comments by Treasury Secretary Timothy Geithner helped send the Dollar significantly higher. Geithner remarked that the federal government may require less borrowing than was initially anticipated to help alleviate the financial system. Also comments coming from the Asia-Pacific Economic Cooperation group were Dollar positive.

The EUR/USD rate fell sharply to its lowest level in a week, trading as low as 1.4821. The last time the pair was at this level was the previous week when the U.S. released the Non-Farm Payrolls. The pair ended Thursday's trading down at 1.4859, from an opening price of 1.4989. The pair was down 0.8% for the day.

Today traders will look at the key U.S. Trade Balance numbers which are set to be released at 13:30 GMT. The data measures the difference in value between imported and exported goods and services for the previous month. This data is directly used in the valuing of currencies. The recent weakness of the Dollar may help reduce the value of the trade balance. If the outcome is less than the expected -$31.8B, we may see the EUR/USD continue its fall below the 1.4750 level.