As the markets were closed yesterday as a result of the Easter Holiday, today we see the dollar rally in the markets versus major currencies ahead of the FOMC meeting minutes. The Dollar Index, which measures strength of the dollar versus six major currencies, is currently inclining trading at 81.54 while recording a high of 81.63 and a low of 81.03.
The euro extended its fall versus the dollar on renewed anticipations that Greece getting aid from the International Monetary Fund (IMF) and European Union will not be enough for the nation to narrow its budget deficit. Also regarding the same topic, Market News International mentioned that Greece says the government does not seek help from the IMF because then conditions will be severe on the nation especially as they have to pay back the massive amount of loans. The EUR/USD is currently trading at 1.3372 between the support of 1.3270 and the resistance of 1.3435 while recording a high of 1.3496 and a low of 1.3355.
The pound today we see was not supported by the upbeat economic data, as PMI construction expanded for the first time in two years, as the currency is pressured from the political issues in the economy, while today after Prime Minister Gordon Brown met with Queen Elizabeth II, decided to break up the parliament on the 12th of this month while having general elections on May 6. From the political issues is reducing the demand on the pound causing it to tumble. The pound against the dollar is being traded at 1.5167 above the support of 1.5060 and below the resistance of 1.5270.
From the worries in the markets regarding the fiscal position of economies in Europe, we see that risk averse investors are in the market seeking lower yielding currencies versus higher yielding currencies, which therefore boosts the yen in market. The USD/JPY is currently trading at 93.89 as it hit a high of 94.37 and fell to a low of 93.76 while currently for the pair, the support is at 93.60 and a resistance at 94.80.