US Dollar Falls on Enthusiasm over Global Economic Data
US dollar is falling today as better news from around the world boost risk appetite. As Forex traders become enthusiastic about risk assets, looking for yields rather than safe haven.
A raft of economic data was released earlier, indicating that the global economy has been moving in a recovery direction, and that has many Forex traders excited about high beta currencies. As a result, the greenback is headed lower, with the dollar index losing ground.
Some of the economic data includes improved consumer sentiment in the United States, and nonfarm payrolls revised upward for November 2012 and December 2012. In the eurozone, news of an improving manufacturing picture and better business sentiment are helping boost the euro to highs not seen for quite some time.
With the global economy looking toward recovery, and with the Dow in the United States above 14,000, it’s all about the risk appetite. US dollar is lower as other currencies are preferred, and as gold prices head higher, putting downward pressure on the greenback.
At 15:29 GMT the US dollar index is down to 78.959 from the open at 79.099. EUR/USD has surged higher to 1.3696 from the open at 1.3578. GBP/USD is also higher, at 1.5737 from the open at 1.5857. USD/JPY is up to 92.5635 from the open at 97.7300.
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Earlier News About the US Dollar:
- Dollar Mixed amid Confusing Fundamentals (2013-01-31)
- US Dollar Weakens on Disappointing Economic Data (2013-01-30)
- US Dollar Drops as Consumer Confidence Falls (2013-01-29)
- US Dollar Gains on Euro Profit Taking and Pound Weakness (2013-01-28)
- US Dollar Looks to Rebound (2013-01-24)