Forex

The Spain's long-term credit rating was lowered by two steps from BBB + to BBB- with negative outlook, however the Euro grew.

Asian and European trading sessions:

Euro: The euro showed today some growth after the third-day of downwards move and the EUR / USD pair was able to bounce for the second time up from the 200days MA level. The pair rose to the level of $ 1.2920 during the European session. All that positive came after the German inflation index recorded in September +2.0 % in y / y term versus previous +2.1 % and coincided with forecasts’ values. The French CPI in September, also published today recorded +2.2% change in y / y term and was almost in line compare with the expectations of +2.4 %.

U.S. Dollar: On background of announce made by Standard & Poor's Ratings Services agency about the lowering the credit rating of Spain, the U.S. dollar has strengthened its position against its competitors. The international rating agency lowered Spain's long-term credit rating by two steps from BBB + to BBB- with negative outlook, and short-term by one step from A- 2 to A-3.

Japanese Yen: After the Japan's Economy Minister Mr. Maehara said that Japan may conduct an intervention into the Forex market in order to reduce the high rate of its National currency on their own, without the approval of the United States, the USD / JPY pair rocketed to a new intraday high of Y78.45. The minister also added that the purchase of foreign bonds by the Bank of Japan as the one of the ways to increase the monetary base in the country and it is the prerogative of the Bank of Japan even though it may conflict with the interests of the U.S.

Australian dollar: The Australian dollar rose against its rivals after today's publication of positive statistics on the labor market reported by the Australian Bureau of Statistics. So, in September, the number of employed people in the country increased thus showing the largest increase in new jobs since May 2012. The result grew by 14.5K confirming the fact of recording better than analysts' expectations results for the third month in a row.

American trading session:

Euro: The EUR / USD pair rose to the level of $ 1.2950 amid the results of the profitability of Spanish 10-year bonds, which fell today to 5.76%.

U.S. Dollar: The report on Initial Jobless Claims, recorded that the number of initial claims for unemployment benefits decreased by 30K to 339K level for the week from September 30 to October 6, which is the lowest level in four years. The dollar continued to trade downwards during this session and the dollar index fell by 0.3% to 79.75.

Gold: The Gold prices strengthened today on weak dollar and interrupted its four-day drop .The October Gold futures marked the high of the $ 1774.70 per troy ounce on the COMEX today.

Silver: The Silver prices strengthened today on weak dollar as well as gold ones. The October Silver futures were able to grow to the high of the $ 34.30 per troy ounce on the COMEX today.

Oil: Crude oil futures traded higher even after the Department of Energy of U.S. reported today that the amount of Oil in inventories levels rose, while distillates and gasoline fell. Last week, the amount increased by 1.67 million barrels to a level of 366.4 million barrels versus forecasted of 1.5 million barrels. November WTI, the U.S Light Sweet Crude Oil futures price jumped to $92.92 per barrel on the New York Mercantile Exchange.