Tuesday, 13 Apr 2010

Bond Auction Fail to Boost Euro, Crude Oil above $83

The Greek short term bond issue (2 years) turned successful today and even managed to push the EUR a bit higher after the auction results were published. It was a good test for Greek, which turned out investors are still confident of the Greek ability to over come its debts problems in the short term.

However, the EUR failed to continue the upward momentum, and the greenback gained back its losses. Investors are already focused on a large amount of Macro data about the U.S. economy due for tomorrow. Investors are hoping for positive indictors about the U.S. economy from Retails Sales, CPI, Beige book, and Bernanke testimony.

As it appears while approaching U.S. market closing time, USD will remain strong against its major counterparts, EUR/USD is currently at 1.3593, USD/JPY the most volatile pair of the day traded as low as 92.60, is above 93 a major support level, currently at 93.17. Crude Oil is currently trading at $84 estimated to reach $85 at least before macro data releases tomorrow, including weekly Oil inventories. Gold at 1152 is trading steady with better chances of continuing its uptrend with expectations for strong economic results.