Asian and European trading sessions:

Euro: The Euro kept its positive trading dynamics and traded on highs against almost all major currencies on the background of yesterday’s statements of the president of the European Central Bank,Mr. Mario Draghi who said that the financial and credit institutions can rely on the provision of unlimited liquidity by the ECB. The EUR / USD pair even went above $ 1.2600 on that news and recorded the new weekly high of $1.2625 mark.

 

U.S. Dollar: The dollar traded in a range around its weekly lows during the Asian session in anticipation of the today’s speech of the Federal Reserve’s chairman Mr.Ben Bernanke. The market was full of expectations and waited for new signals on easing of the monetary policy for further support of the U.S.economy. The fact that the People's Bank of China lowered the benchmark interest rate by 25 points also put some pressure on the dollar by providing a positive sentiment on markets thus increasing the risk appetite among investors. In details, the benchmark interest rate was lowered for the first time since 2008 to 3.25 % from 3.50%.

 

British Pound: During the Asian session the GBP / USD pair fell to $1.5430 after yesterday's big run. However, the positive sentiment came back during the European session and the pound showed a growth against major currencies. The announcement of the Bank of England on the decision to leave the interest rate unchanged at the 0.50 % provided some support for the sterling during the session. Although, the Bank of England left the bond repurchase program at 325 billion pounds, as it was expected, it did not mention any further additional measures aimed for supporting the national economy in spite of the worsening situation in the British economy and the deepening debt crisis in the euro area. The GBP / USD grew, in contrast, into the region of $ 1.5598.

 

Japanese Yen: The USD / JPY pair grew up into the Y79, 77 areas on the European trading session. The yen fell against most of the major currencies today on continued growth of the risk appetite among investors as well as on rising World’s stock markets.

 

Australian dollar: The Australian dollar continued to strengthen against all its competitors after the yesterday’s publications of positive macroeconomic statistics of the Australian economy’s performance. In addition, it also got support from the today’s report on the employment situation in country, which improved much better than analysts' expected and resulted in May a rise in the number of jobs in Australia by 38.9K, versus forecasted 0% and compared with the revised increase in April by 7K.

 

 

American trading session:

 

U.S. Dollar: The dollar strengthened against its competitors on a background of speech of the Federal Reserve chairman Mr.Ben Bernanke who did not mention any additional measures for supporting the U.S. economy.

 

Japanese Yen: The yen fell against all major currencies after China lowered the benchmark interest rate for the first time since 2008 thus caused decrease in demand for safe heaven assets.

 

Gold: The Gold prices dropped down on the COMEX to $1583 per troy ounce area on the background of the speech of Mr. Ben Bernanke who did not mention any signals on additional measures for stimulating the U.S. economy.

 

Silver: The Silver prices fell by the $1.05 to the $28.40 per troy ounce today.

 

Oil: The Oil fell for the same reason as the Gold. The cost of the WTI July’s futures on the NYMEX today declined to $ 83.51 per barrel.

Source : https://forex-metal.com