Financial markets witnessed increasing demand on risky assets on Thursday, following crucial economic data that was able to trigger optimism over the current economical conjuncture, and accordingly, led traders to seek higher-yielding currencies.
Optimism lifted up the markets since the morning hours of trading, after both Spanish and French bond selling went pretty well, fueling a wave of bullishness across the markets. The Euro gained and the pound, while the dollar fell following downbeat housing data from the U.S.
The dollar index, which measures the performance of the U.S dollar against a basket of currencies including the euro, the pound and the Japanese Yen, fell from the opening level of 80.50 to trade around 80.26, recording the highest level at 80.59 while lowest at 80.17.
In addition, gold pared earlier gains to trade around $1654.97 an ounce, from the opening level of $1659.74, and oil prices declined after U.S gasoline demand decreased to the lowest level in 10 years, to currently trade around $100.60 a barrel from the opening levels of $101.49.
The euro rose against the dollar After Spanish and French bond selling went better than forecasted, sending the EUR/USD pair to trade up around $1.2943 from the opening level of $1.2864, while recording the highest level of $1.2946 and lowest level of $1.2839.
The British Pound rose against the dollar as well, driving the GBP/USD pair to trade around $1.5471, from the opening level of $1.5488, while recording the highest level of $1.5415 and lowest of $1.5327.
Finally, the Dollar rose gained versus the Japanese Yen, after the jobless claims dropped to the lowest since almost 4 years, as the USD/JPY pair trades around ¥77.19 from the opening level of ¥76.79, while recording the highest level of ¥77.32 and lowest levels of ¥76.69.