The U.S. Dollar continued its decline for the fourth consecutive day, as the risk appetite improves among investors that supported demand for higher-yielding assets, especially after the optimistic expectations for the global recovery from the G8 which they see with offset the downside pressure of the debt crisis. During the summit Obama promised to reduce the U.S. budget deficit in order to maintain the stability of the global economic recovery.
Investors are waiting today the U.S. personal income report, with the expectations of abating over the past month, the USDIX index is currently trading around 75.13, recording a high of 75.59 and the low of 74.95.
The euro continued its gains against the U.S. dollar to stabilize above 1.4200 despite the drop in confidence in the area affected by the sovereign debt crisis. Jean-Claude Juncker, stated that International Monetary Fund might not release its share of contributions to Greece next month of 3.3 billion euros from the set 12 billion euros, which will put the debt rescheduling in Greece into discussion during the coming period, the pair is now trading around 1.4235 recording a high of 1.4278 and a low of 1.4125. Technically, the pair is expected to rise if it stabilizes above 1.4150 and move towards targets around 1.4455.
The Pound rose against the U.S. dollar supported by rising consumer confidence index in the United Kingdom during April, to record its biggest rise since 1993, and it seems that the British citizens have become less pessimistic about the royal economy and the reductions in public expenditure by the coalition government in order to reduce the budget deficit which rose above acceptable levels. The pair is trading now around 1.6415 compared with opening around 1.6400 recording a high of 1.6460 and a low of 1.6377. Technically, the pair is expected to rise if it consolidates above 1.6340, to achieve targets at 1.6675.
The U.S. dollar fell against the Japanese yen, where the pair trading is consolidated between the major support at 79.00 and major resistance at 83.00, and currently hovering around 81.00 to record a high of 81.39 and a low of 80.82 compared to the opening areas of 81.29.