Nikkei up in closing stages, Bullish Bernake can extend dollar

By IBTimes Staff Reporter | December 07 2009 1:21 AM

FXstreet.com (London) - As we previously reported Majors finished fairly flat, all effected early in the session by a weakening of dollar, potentially Asia playing catch-up with the US close on Friday which saw profits sliced off the top in Wall Street.

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Heading into the close the Nikkei shows gains of around 1.5% suggesting a mildly bullish outlook for the London open. Strength in the exporting stocks buoyed the index, outweighing losses in the resource sector due to weakening commodities on Friday.

Megumi Fujikawa, of Dow Jones, reports that alot of weight may be put on the language used by Bernanke today and whether is it considered upbeat: While most dealers expect the dollar to fall in coming days, some in the market warn that the greenback could get a boost if U.S. Federal Reserve chairman Ben Bernanke sounds optimistic about the nation's economic outlook in his planned speech later in the global day.

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