Forex

The positions of the U.S dollar have increased significantly today

Asian and European trading sessions:

U.S. Dollar: The dollar rose as investors were focused on the issue whether the U.S. politicians will agree to raise the debt limit of the country. Now, when the U.S. debt ceiling is exceeded, the Fed is seeking ways to avoid a technical default.

British Pound: The GBP / USD pair fell to $ 1.6202 at the Asian session. The couple continued to trade even lower when the Nationwide House Prices report showed that the home prices fell last month thus revealed that the recovery of the UK’s economic will be slow. In details, the Nationwide Building Society informed today that the costs of homes in the United Kingdom fell by 0.1 % in December compare with the average economists forecast that predicted prices will be remained unchanged. The GBP / USD pair dropped by 0.6 % from the reached the strongest level of $ 1.6381 yesterday to the area of $ 1.6144 setting a new intraday low.

Japanese Yen: Due to the technical oversold, the Japanese currency slightly strengthened against all major currencies. The USD / JPY pair dropped to Y87.08 area during the Asian session. The increase of the demand for the risky assets had risen when the IMF representative Mr. Rice said that the U.S. government should put more efforts to restore the government finances. In general, today’s players took this opportunity for taking profits on recent rally which was occurred against the temporal resolution of the situation with the “fiscal cliff “in the United States. The USD / JPY pair fell to a new intraday low of Y86.81 during the European trading session

American trading session:

U.S. Dollar: The positions of the U.S dollar have increased significantly not only due to the positive results of the ADP report , but also by the fact that many market participants were still awaiting for the agreement of the American lawmakers on increasing the debt limit of the country. The dollar index has reached its three-week high reaching the level of 80.54 showing an increase by 0.6 %

Australian dollar: The Australian dollar returned all its previously won positions against the U.S. dollar after the ADP Employment Change report showed that U.S. private company in December added more jobs than it was expected. According to the report, the numbers of workers increased by 215K from the previous 118K and were over expectations of around 140K.

Gold: In today's trading the February futures of gold were trading with a moderate decrease but fell at this session to the $1660.80 per troy ounce.

Oil: Today, the February futures price of the U.S. light crude oil WTI fell to 93.11 dollars a barrel on the NYMEX. The oil prices retreated from three-month high which they have reached yesterday, due to the results of the Initial Jobless Claims report in the U.S. last week rose more than expected.