Forex

The Reserve Bank of New Zealand left its key interest rate unchanged at 2.50%

Asian and European trading sessions:

Euro: After making a 13-month high against the dollar the euro fell amid results showed by the report on German retail sales which fell last month compared with the same period last year. Retail sales adjusted for seasonal variations, the number of working days and inflation fell in December by 1.7% compared with November’s data. more than economists were forecasted and leaded to damp the demand for the single currency. However, the release of data that showed that the unemployment rate unexpectedly fell in German in January, down to the level of 6.8% from 6.9% supported the currency. The number of unemployment people fell by 16K to 2.92 million, while the projected growth was at 8K. The EUR / USD pair fell to a new low of $ 1.3539 during the European session.

U.S. Dollar: The dollar slightly grew in anticipation of today's release of statistics on employment in the United States. Accordingly forecasts of economists, the number of initial claims for unemployment insurance would have grown by 21K, while the previous data showed an increase of 351K. Yesterday, the Fed officials in their final statement noted that economic activity "took a break in recent months," mainly because of the weather conditions and time factors. However, they added that they expect continuation of growth in "moderate pace" and improvement of the situation in the labor market. The Fed also said it will continue on a monthly basis to buy longer-term Treasury bonds and mortgage-backed securities for the amount of $ 85 billion.

Japanese Yen: Amid falling of stock markets in Asia and positive reports from Japan the Japanese yen has regained a part of the recently lost ground against major currencies. Accordingly todays released data, the industrial production in Japan rose in December from the previous month. The issue added a sign that the country emerges from recession along with the world’s economy gradual recovering. The USD / JPY pair fell to Y90.72 during the Asian session then grew to a maximum of Y91.09 at the European one.

New Zealand dollar: The New Zealand dollar traded higher against the background of the statements of the Reserve Bank of New Zealand. The RBNZ left its key interest rate unchanged at 2.50% and slightly more positively assessed the economic outlook for 2013, however, making ??it clear that there are still concerns about inflation in housing prices.

American trading session:

Euro: The euro rose against the dollar getting very closely to the level of $1.36 registering with the longest winning streak in nearly a decade, as risk appetite improved on speculation that the worst days of the crisis of sovereign debt in the euro area are over.

U.S. Dollar: The dollar index fell as the report showed that the number of applications for unemployment benefits rose more than expected. The pressure on the index from yesterday's announcement by the Federal Reserve continued to be existed. Accordingly to the announcement the Fed would continue to buy Treasury and mortgage bonds to stimulate the U.S. economy and reduce unemployment rate.

Canadian dollar: The USD / CAD reached new lows after Canada's GDP grew more than expected in November showing an increase by 1.3 % yearly versus 1.1 % y / y and 0.3 % monthly g versus 0.2 %

Gold: Gold prices lost more then1%, falling sharply due to profit-taking after yesterdays exceeded rise above the level of $ 1680 per ounce. The price of gold on COMEX dropped today to 1657.80 dollars per ounce.

Oil: The cost of the February futures the duration of which expire today fell for the first time in four days, after data showed that the number of initial claims for unemployment benefits in the U.S. increased more than tey were forecasted. The March futures of WTI fell to 96.82$ a barrel on the NYMEX.