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According to the latest forex trades data the Euro continues its fall that is caused by the many low economic numbers showing nothing but serious troubles in the Eurozone economy. The numbers provided by the manufacturing and services sectors showed a real decrease in these sectors and made the recession really possible.

The United States dollar kept its high positions supported by decreasing oil prices and several certain announcements from the Federal Reserve. The oil prices have decrease below the $130 a barrel point and the Charles Plosser at the Fed made his announcement concerning the possible inflation. Due to his words growing inflation could cause the Federal Reserve to increase interest rates before any recovery at the labor and financial markets and this is quite supportive for the USD. Moreover the USD was also supported from the announcement of the Hank Paulson – US Treasury Secretary who said about the importance of the strong currency.

According to the latest forex trades data the United States dollar became stronger in relation to the Euro after the issue of quite positive US earning reports that provided a strong incentive for the stock market.

The Central bank of the US issued the earnings reports for the second quarter of the year that turned to be of $0.72 better than the expected $0.53. These news lead to the talks of banking sector of the country becomes more stable. Moreover the reports under consideration provided more than 6% growth of the Bank of America shares in pre-market trades. Thus the Euro decreased to the point of $1.5857 from previous $1.5908.

The sharp fall of the USD in relation to the Euro was caused by the worries concerning the US mortgage market and its consequences for the country economy.

The intention of the US government to provide some emergency assistance to large mortgage companies – Fannie Mae and Freddie Mac caused sharp decrease of the confidence in this market and the hike of the Euro to the point of $1.6038. Members of the market suppose that the assistance to the mortgage companies will be nothing but additional several billions of dollars that will increase the national debt and thus decrease credit rating of the whole country.

The United States dollar is still decreasing in relation to the Euro and it seems to reach its lowest point again. This was caused by the reason that the US Treasury intention to provide emergency assistance to the largest mortgage groups – Fannie Mae and Freddie Mac was not sufficient to settle down the rest of market members.

According to the last forex trades data the European currency comes to the point of $1.60 and the British pound increases over the $2.00 mark this is the first time the British currency has reached this point throughout current month.

Asian forex trades finished with the firm United States dollar in relation to majors as the Federal Reserve made no surprises for the markets after the interest rate decision was taken. The interest rates remained unchanged as it was forecasted. The Fed’s officials repeated its fears about the possible growth of the inflation and gave no hints where the interest rates will move in future. The Federal Reserve make no changes in the level of interest rate even after the announcement of the European Central Bank to raise the rates in July.

The afternoon forex trades in Asia resulted in the growth of the United States dollar in relation to the Euro and Japanese yen. The reason of such growth trend was the talks concerning the possible declaration of the Federal Reserve its intention to increase the interest rates with the aim to constrain the inflation. The FOMC begins today the meeting that will end with the decision concerning the level of the new interest rate.

The forex trades resulted in low Euro after the European numbers showed a trend of decreasing economic data as the European Central Bank wishes to increase interest rates. For instance the German data (Ifo business climate index) decreased by over 2 points throughout the June and has reached the 101.3 point which turned to be quite below the forecasts provided by the experts. The same happened with expectations component that decreased to 97.2 point.

The last forex trades showed the further growth of the Euro in relation to the USD after the comments by the European Central Bank official – Lorenzo Bin Smaghi and unexpectedly high level of the German producer prices. Due to his forecasts there will be further growth of the commodity prices and the interest rates will be increased in case other factors will not contribute to the decline of the inflation level.

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The United States currency has not almost changed in relation to other currencies throughout morning forex trades in Sydney. Thus the USD has strengthened the highs it has gained after the possibility of the interest rate hikes expressed by the Federal Reserve officials.

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The morning forex trades in Tokyo resulted in the growth of the USD in relation to yen caused by the increased demand and possibility of the basic materials costs growth. So the USD reached 105.07 yen and the Euro - $1.5765. However it is expected that the US dollar will decrease soon due to the US unemployment numbers that have increased throughout the May. The jobless level in the US reached the 5.5% point throughout the May instead of the 5.1 percent predicted by the experts.

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According to the latest data from the forex trading sessions the major currencies changed slightly recently due to the US payrolls numbers that are expected to be released soon. It seems that the USD will be affected by the statistics that will likely to decrease by 60.000 for the May. But after the issue of ADP data the experts’ outlook changed to 40.000 growths. In case this growth will occur then the US currency will grow further caused by the facts of the country’s economy stabilization and concentration of the Federal Reserve on inflation problems. Anyway the decrease of the statistics is still an actual thing.

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The USD changed slightly throughout the afternoon forex Asian trading session in relation to Euro and Japanese Yen. However it decreased to euro to $1.5597 throughout the night caused by the announcement of the European Central Bank President Jean-Claude Trichet about the possible increase of the interest rate in the next month after the slowing down the inflation trend. According to David Mann at Standard Chartered yesterday’s changes of Euro will be followed by the new numbers concerning unemployment situation today.

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The USD recent trend is quite positive this fact is caused by the possible growth of the interest rates until the end if the year. According to Federal Reserve Chairmen – Ben Bernanke the inflation continues to grow and it is expected to grow further.

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The forthcoming issue of the US economic numbers and new interest rate by European Central Bank contributes to slight change of the USD in relation to the Euro and Japanese Yen throughout the afternoon forex trades in Asia.

The US data to be issued includes the unemployment report for the May and non-manufacturing index.