With the outlook for the American economy still uncertain, analysts expect some players to sell the greenback this week amid US economic indicators scheduled for release come in weak. US data due this week include Home Sales for January today, Consumer Confidence for February tomorrow and January durable orders on Wednesday.
The dollar slipped against the euro today; dogged by worries the US economy will drift into a recession and followed by market expectations to lower interest rates further. Not long enough; the pair was dragged to consolidate within narrow ranges towards the upside to fetch a high of 1.4832 and a low of 1.4807. However, the euro could fall if any weak euro zone data refocuses attention on the possibility that the ECB may lower interest rates.
Meanwhile, the British pound is trading within limited ranges pushing the pair to record a high of 1.9687 and a low of 1.9616
The dollar rose against the yen as Japanese importer bought the dollar to settle payments. The dollar also got some boost after report from Ambac late Friday indicting the risks of a downgrade in securities is diminishing providing a relief from the troubled credit market. As for this hour, the USD/JPY pair recorded a high of 107.48 and a low of 107.24.
Join the Discussion