Friday 18th April 2008
US dollar currently off its lows with the Euro having failed just short of the significant $1.6000 barrier yesterday. Little in the way of economic data releases today so we would be surprised to see major currencies push higher against the USD over the next few sessions.
There might just be a very slight emergence of some confidence from investors about the outlook for the troubled US financial sector. The US dollar may be gaining support as earnings reports this week by major US banks have been largely devoid of nasty shocks and we look to the DJIA again as a confidence indicator.
Some significant rhetoric over the last 24 hours with Euro Zone's finance minister Juncker warning that the Euro's current strength is undesirable' and Fed officials Lacker and Fisher warning of the risks of inflation to the US economy. Prudent with profits and money management!