Forex-Metal Daily Analysis -12/04/2012

The Australian Employment Change report generated a positive bios and Australian currency rose against all major currencies.

 

Asian and European trading sessions:

Euro: The EUR / USD pair traded higher at the Asian session recovering from yesterday lows, waiting the positive result of today’s Italian auction of government bonds. Italy planned to place bonds which mature in 2015, 2020 and 2023, respectively. The results of auction were positive and supported the Euro currency, which strengthened against its major competitors. Italy sold its securities for 4.88 billion Euros, which was very close to the maximum target of 5 billion Euros. For the growth of EUR / USD couple also contributed a weak dollar. The pair rose into the region of $ 1.3175 at the European session .

US Dollar: The dollar weakened against most major currencies on the background of statements of the deputy chairman of the Federal Reserve, Ms. Janet Yellen in which she supported today’s soft Central bank’s monetary policy. The dollar declined against other major currencies during the European session. The demand for safe heaven currencies today was weak due to the positive trading dynamics on the World’s stock markets. The dollar came under pressure and fell against its competitors.

Japanese Yen: The USD / JPY pair traded in a range of Y80.82- Y8.05 during the Asian trading session. The currency was supported today by the words of the head of the Bank of Japan Masaaki Shirakawa, who said that he would continue easing monetary policy. The USD / JPY pair recorded the European session high at the Y81.11 level.

Australian dollar: The report of today which was provided by the Australian Statistics Office showed that the number of people employed in Australia increased in a last month to 44K. It was much more than the Economists expected predicting the number of 6500.

American trading session:

British Pound: The pound fell as a result of published data on the trade balance. The Total trade balance fell in February lower than forecasted partly because of falling car exports in January. The GBP / USD pair slided down into the region of $ 1.5931.

US Dollar: The dollar fell against most major currencies after the publication of report on Initial Job claims, which recorded that the number of applications for unemployment benefits of first week of April increased by 13K versus forecasted decrease by 12K.

Oil: Oil increased along with a very positive trading dynamics on U.S. stock markets and on the background of speculations that the central bank will stimulate economy’s growth through maintaining easy monetary policy. Also a weak dollar provided support for the 
Oil prices today. May’s WTI futures rose to 104.23 dollars per barrel on the New York Mercantile Exchange.

Gold: Gold prices rose sharply jumped against the backdrop of a weakening dollar due to the publication of weak report on unemployment in the United States. May futures op Gold on the COMEX today raised to $ 1679.80 per troy ounce.