Thursday, 23 Dec 2010

Euro-Zone Troubles Continue to Weigh on Euro

The combination of continued euro-zone debt worries and a slow news cycle because of the Christmas holiday have weighed down on the 16-nation currency. While the EUR/USD had managed to stage a slight bullish rally in early morning trading, it has since begun to fall again. Currently, the pair is trading around the 1.3080 level, down from 1.3140 earlier today. In addition, the EUR/JPY pair continues to fall, and is currently trading around the 108.65 level.

This afternoon, a batch of news out of the US is likely to impact USD pairs. Traders will want to pay particular attention to this week's US Unemployment Claims figure as well as the Core Durable Goods Orders. With positive numbers expected for both indicators, the dollar is likely to see more gains in the afternoon.