Forex

The positive fundamental news supported the Euro currency today

Asian and European trading sessions:

Euro: The euro strengthened against the dollar after Italy reached sales goals on its today’s bonds auction. Although, the yield on 10-year bonds of Italy was better than expected, but it increased compared with the previous value of 4.17% to 4.83%. Also, the yield of 5-year bonds rose from 2.94% to 3.59%. Other report showed that the indicator of economic confidence in the region has improved this month. The pressure on the single currency today had Investors Service Moody's agency’s statement that called the election results negative for the ratings of Italy which could threaten the structural reforms in the country. In addition, there were many other releases that supported the EUR / USD pair during all the way up to $ 1.3120 area. The consumer confidence in the euro zone slightly improved from -23.9 to -23.6 in February, the business climate indicator rose from -1.09 to -0.73 with -1.04 forecasted, and the industrial confidence rose from -13.8 to -11.2 compare to -13.2 forecasted, the services confidence also improved from -7.7 to -5.4 more than 8.5 forecasted, and the indicator of economic sentiment rose from 89.5 to 91.1also better than forecasted 89.8.In addition, the Gfk by German Economic Institute, according to which the German consumer confidence index in the last reporting period rose to 5.9 points from the previous value of 5.8 points, associated with published earlier Ifo and ZEW indices, confirmed expectations that economic growth in Germany will rise after weak Q4 2012 .

British Pound: The GBP / USD pair fell below $ 1.5100 during the Asian session. The British pound rose against the dollar after the representative of Bank of England Mr. Bean in his today’s speech suggested revising the target level of inflation. Report published today shows that up to the 4th quarter of the British economy grew by 0.3 % versus 0.0% in yearly, while the quarterly term decreased by 0.3 % which was in line with forecasts. In addition, the Total business investment fell by 1.2% in quarter term, with the annual rate of 0.4% compared to 5.4 % in yearly base. The GBP / USD pair rose to $ 1.5165 during the European session.

Australian and New Zealand dollar: The Australian and New Zealand dollars fell against the U.S. dollar, again for the third -session decline in a row, against the background of concerns of results of the election in Italy, which could deteriorate the debt crisis in Europe, and decrease investors' appetite for risky assets.

American trading session:

Japanese Yen: The USD / JPY pair was trading around the level of Y92.00 during the Asian session. It fell at the end of the European session to the lows of Y91.11and then grew up sharply amid news of pending appointment of a new head of the Bank of Japan, which will take place tomorrow. Economists also point out that the main candidate Mr. Kuroda as a critic of the Bank of Japan policies does not support the idea of ??buying foreign bonds.

Gold: Many of investors decided to lock some of their positions in the run-up speech by Federal Reserve Chairman Ben Bernanke. The price of gold fell today, after rising more than 1% in the previous session. The cost of the March futures of gold fell to 16932.50 dollars an ounce today on the COMEX.

Oil: The crude oil inventories rose by 1.13 million barrels in the week ended February 22 as it became knowing today. The data showed that stocks of distillates, including heating oil and diesel, rose by 557K barrels. The April futures price of WTI rose to 93.34 dollars a barrel on the NYMEX today.