The South Korean won fell sharply against the U.S. dollar this week and reached its monthly low against the USD today despite the very weak dollar’s positions and the bullish trend in the Chinese yuan, which is the one of the dominating Asian currencies.
The Japanese yen continued its fall against the high yielding currencies today, especially against a very strong bullish euro, and reached 3-month minimum value against it, as the stock market rallies spurred carry trade popularity on Forex.
The U.S. dollar fell down to another historical minimum level against the euro today, as the strong technical resistance has been breached and the fundamental economic statistics in U.S. has failed to keep the USD up on the Forex market.
Italy’s soon-to-be newly elected prime minister, Silvio Berlusconi, pledged to ally with the president of France, Nicolas Sarkozy, in his strife to persuade ECB to weaken the united Europe’s currency by the means of the intervention.
Great Britain pound fell down to a new absolute minimum level against the euro today as the fresh economic data from U.K. signaled that the output growth will probably slow down significantly.
The U.S. dollar has retreated from its impressive gain on this week opening on the Forex market and is now trading inside its usual recent daily bearish trend against the euro and the Japanese yen.
The U.S. dollar may probably slow down in its currently strong bearish trend against the other world currencies after the G7 meeting participants expressed their concern about the Forex market fluctuations.
The Central Bank of Chile will be buying the U.S. dollars in 2008 in order to stimulate the economy by the weaker national currency.
The Chinese yuan ended the domestic OTC trading session today below 7 yuan per U.S. dollar level — for the first time since the end of the peg to dollar in 2005.
Both Bank of England and the European Central Bank acted as expected today during their monetary policy meetings — BoE cut the interest rate to 5.00% and ECB left them unchanged at 4.00%.