Forex-Here.com All about Forex

The morning forex trades in Sydney resulted in decrease of the United States dollar in relation to major currencies caused by the declined possibility of the interest rates hike by the Federal Reserve. According to last data the USD was traded at 108.18 Japanese Yen and the Euro was traded at $1.5475.

© All about forex | www.forex-here.com

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.

© All about forex | www.forex-here.com

The United States currency decreased a bit in relation to major currencies throughout morning forex trades in Sydney. This was the consequence of the USD decrease in relation to the yen that turned to be the largest one for the last after the possibility of the credit crisis rebounded. Decrease of the credit ratings of Merrill Lynch, Morgan Stanley and Lehman Brothers contributed to the purchase of the safe haven and lead to the significant growth of the Japanese Yen and Swiss franc. The USD was traded at 104.38 yen and the Euro gained to $1.5541.

The Tokyo Forex session showed a decrease of the United States currency in relation to Euro that was caused by the effect of the short-term players. So this is the fall that followed the increase of the USD occurred yesterday after the opinion that the US economy will not witness a recession appeared.

This morning Forex trading session in Sydney showed the further growth of the United States Dollar in relation to other currencies caused by the actions aimed to the recovery of the economy of the country. This has also caused the growth of the US Treasury yields.

During the morning forex trades the Japanese Yen was at the point of 105.23 in relation to the USD and the Euro get the point of 1.5461 against the US dollar.

The United States dollar strengthened its positions in relation to main currencies throughout the last forex trading session. It has reached the point 104.80 against the Japanese Yen and 1.5349 in relation to Euro. Among the reason caused this growth we can outline such factors as the speech of the Thomas Hoenig the Kansas City Federal Reserve President and the growth of the US productivity that turned to be higher than expected.

The latest Forex trades showed the Euro increased again after the short period of decline however this instability shows nothing but the problems of the European economy. The purchasing manager’s index for the previous month increased up to 51.8 point but the growth trend was reported only by Germany; as for the Spain, France and Italy they have reported the slowdown.
As for the whole market opinion there are talks about further decreasing of the Euro.

The main point we should consider is that the morning Forex trades resulted in the certain growth of the Euro which was caused by the fact that European officials have taken another decision concerning the European Central Bank interest rates and they convinced the markets that there will be no rate cuts throughout this week.

The trades of the United States currency at the Forex markets in relation to main currencies were quite different. The USD has added a bit in relation to the Japanese Yen and decreased slightly against the Euro.
Rather positive jobless report issued last Friday made traders and experts suggest that the second 6 month of 2008 will be probably a period of the recovery for the US economy and financial markets.

The main point to be singled out is that the Japanese Yen declines for the second consecutive day on Forex. The sole reason is the current situation occurred at the markets. The United States dollar became more attractive for the traders and that is why the Japanese currency is being sold off.
We should also mention that despite the fact that the greenback increased for the second time this week in relation to Japanese Yen, the Yen itself has also decreased in relation to such currencies as British pound and South African rand by 5% and 11.5% interest rate correspondingly.

The main point we should consider is that the Japanese yen turned to be quite strange throughout the trading session this day and has come to the end of trades at low positions in relation to the United States dollar and British pound but strong enough against the Euro, Australian and New-Zealand dollars. As for the inflation level in Japan we have to mention that it increased to 1.2 percent throughout the previous month.