FXstreet.com (Córdoba) - Equities rose sharply in Europe and in the U.S. A better than expected reading on the service sector, showing the first expansion in more than a year boosted stocks. Wall Street rose after four days, with the Dow Jones gaining 1.18% and the Nasdaq 0.98%. Gold rose and finished at the highest level in a week at 1,016 an/oz. Crude oil ended above $70 a barrel.
According to the Forex.com Research Desk: The market seems to have forgotten that downright ugly employment report last Friday and the bulls took charge once again. Commodities went on a tear on the back of the better data as well.
The Dollar fell across the board but a moderate pace against majors but plunged against currencies tied to commodities.
EUR/USD was rejected from below 1.4600 and rose to 1.4670. The pair consolidated gains during the American session. Against the Swiss Franc the Dollar has fallen for second day in a row accumulating a decrease of more than a hundred pips. USD/CHF found support at 1.0305.
The Yen bounce back during the American session and recovered form early losses, ending the day in negative but far from intra-day low. USD/JPY bottomed at 89.38 but failed to rally downside. Form there the Dollar recovered and rose above 89.50.
Cable fell across the board. GBP/USD was rejected from levels on top of 1.0600 and has been moving inside a range since the start of the American session, between 1.5900 and 1.5960. EUR/GBP rose again but the pair found resistance at 0.9200.
The New Zealand Dollar soared on Monday to 0.7314 posting a fresh 14-month high. The pair recently pulled back below 0.7300 but remains with momentum. Also AUD/USD rose sharply, jumping from 0.8650 to 0.8800.