Dollar fell sharply by in the middle of American session past Friday, as investors booked profits by the end of the week. The sell off could be appreciated all across the board, with dollar loosing between 1 and 3 cents in less than an hour. No fundamental reasons for such down turn, analysts consider tiny trade volume one of the main reasons together with some stop hunting. The reversal begun after key levels were broken. Regarding Euro, 1.2665 was the one where many traders and funds had their buying orders.
In a couple of hours, dollar also lost last weeks correlation with stocks as Dow Jones Industrial Average close for the fifth consecutive day negative closing at a 6 years low.
Early Sunday, Athanasios Orphanides member of the ECB governing council, said the Central Bank is studying unconventional policy tools to ease financial strains, but isn't in a rush to introduce them because of more room to lower interest rates.