Thursday, 5 Nov 2009

Crude Oil Falls Below $80.00 a Barrel

The U.S. Dollar made impressive gains today following news that the U.S. Federal Reserve has decided to keep interest rates low for the foreseeable future. Investors strayed away from high risk currencies on Thursday ahead of key policy announcements coming out of England and the European Central Bank. Although the dollar had a strong day today, traders should be wary of its continued rise ahead of a major announcement on employment figures on Friday.

Oil fell below the $80.00 mark on Thursday amid signs of the strengthening dollar. With the commodity becoming more expensive for holders of other currencies, demand was down in trading. Again, traders should look to the job report being released Friday as a key indicator of American oil demand ahead of the winter season.