Trade Online Forex with Major Currencies

Wednesday, March 4, 2009


Christian Noyer, the European Union Central Bank Governor, made some key comments today about the EU’s economic policy and as a result, online Forex brokers and investors traded the Euro sideways most of the day on Tuesday. Governor Noyer had said that the Central Bank was mulling over “unconventional” monetary policies in order to stem a dire economic situation in much of the Eastern and some Western European countries. This declaration tempered the Euro, which had earlier posted decent gains, because traders did not seem to like the vague reference to unconventional methods. If the politicians could learn anything in this crisis, it is that the markets do not like uncertainty – and the words “maybe” and “perhaps” are as uncertain as they come.

At 5PM GMT, the Forex brokers were trading the Euro up slightly to the GBP at .8967, slightly versus the CAD to 1.6277, slightly to the Swiss Franc at 1.481.


After a dismal day on Wall Street, Monday, that saw the Major Stock indexes fall to levels unseen since 1996, the US Dollar continued seeing those trading and investing in the Forex fly to the relative safety net that the greenback offers. While the Dollar had a mixed day due to good news down under, it still posted nice gains against the Yen, its key rival for safe-haven status.

As of 5:10 GMT, the USD recaptured most of its losses to the Euro and was down ¼% to 1.2639 after having fallen off the 1.2677 level, the intraday high for the Euro. The Dollar rose versus the Yen nearly ¾ of a percent to 98.07 and was down slightly to the Pound at 1.4085.


The champion of Tuesday’s trading session with Forex online traders was the Australian Dollar, which benefitted from the Reserve Bank of Australia announced they will leave interest rates untouched for this month. The unexpected move, came with a warning though, that credit default swaps were straining the Aussie economy – which raises the ultimate cost for protection against Australian debt default.

The AUD was trading up 2.5% to the USD at .6454, 3 ¼% to the Yen to 63.31, 2.4% to the Canadian Dollar to .8341 and 1% to the New Zealand Dollar at 1.2914.


About This Blog

Get the latest Forex online news and updates right here at one place.