Less than expected rate cut, fears of recession and the endless Credit Crisis are all playing a major role in the varying explanations to what's going in the markets; markets are tumbling and fears from the unexplained movement in the currencies and commodities is taking the biggest attention. The US dollar is strengthening, fighting back against major currencies such as the Euro, obligating it to trade around 1.5576 levels dropping from the all time highs that was recorded last week.

As we are heading into a long weekend today, with Friday's off, due to the Good Friday holiday with a three days out of the markets, investors' began to fear an unexpected opening to the markets next week so they decided to gather all their profits before the end of day, pushing the shiny metal to trade around $930.3.5 levels at the early Asian session recoding a low of $916.30.

While for the other commodity which shares a proportional relationship with the shiny metal; dropping with the increasing signs of a spreading recession in the United States, were the demand from the biggest oil consumer in the world would plunge as the manufacturing will slow down; as today the crude is trading around $102.34, falling with about $5 from yesterday's levels.

So putting all the above variables into consideration, the logical explanation for the seen low levels to the Euro and the bullion is a pure profit taking transaction.