Forex-Metal Daily Analysis – 29/10/10

Greenback switched to the negative dynamics. Asian and European trading sessions:
Euro: The demand for the risky assets grew on Thursday, and the euro stabilized. The EUR/USD pair showed maximums at the level of $1,3865. 
The released Euro-zone fundamentals supported the euro. The Business climate indicator for October increased to 0.98 against the expected 0.79 growth. Economic and industrial Euro-zone indicators were positive as well.
US Dollar: The greenback demonstrated a decrease for the first time after the three consecutive days with positive dynamics.
British Pound: The sterling rate also grew and the GBP/USD pair managed to reach the $1,5890 mark.
The published UK fundaments also supported the sterling. The UK Nationwide house prices turned out to be lower than forecasted, but the released later on the CBI Reported sales for October reached the 36 level against the expected 35 and 49 from the previous month.
Japanese Yen: According to the decision of the Bank of Japan, which was taken unanimously, the principal rate was left unchanged at the level of 0.10%. This outcome has been expected by the market participants. The Bank of Japan also stated of its intentions to purchase corporate debts with low credit ratings. As a result, the Japanese yen stepped back from its previously reached minimums. The USD/JPY pair decreased to Y81,30.
New-Zealand Dollar: Regardless of the previous RBNZ principal rate decision, the New-Zealand dollar managed to grow on Thursday. The head of the RBNZ, Alan Bollard, stated that the interest rates would probably be increased, which supported the national currency and supported the demand for the risky assets.
Oil: During the morning trading the oil prices were around the level of $81.85 per barrel. American trading session:
British Pound: The released GfK Consumer confidence survey for October turned out to be -19, when the forecasted level was -22, which rendered additional support to the sterling.