Forex News

From looking at the recent dynamics of the Swiss franc in the foreign exchange market it can be undoubtedly said that the currency is now treated as a safe haven by the traders. It reached its new historical maximum against the euro today.

The Great Britain pound fell to its one-month low against the USD and to the 3-month low against the yen, following the comments of the country’s monetary officials and the global bearish trend for the riskier assets.

The expectations for the worsening of the global economic situation in the developed nations fueled the risk-averting mood in the foreign exchange market, pushing the Japanese yen to the new yearly maximums today.

The Canadian dollar continued its downward fall against the USD today, as the Forex traders expect no interest rate hike from the country’s central bank when it meets next time in two weeks.

The Japanese yen is considered a safe currency, which makes it attractive in the times of the economic instability, like nowadays. While its appreciation slowed compared to the beginning of this year, and it even weakened a little versus some other currencies during the summer, the yen remains very attractive currency for those who desire safety. Will it retain its value or it’s time to sell the currency while it’s still highly priced? The answer is hugely depends on the risk sentiment of the traders, which can be easily changed by any economic news.

The Australian dollar fell against all of its major counterparts at today’s Forex market opening, as Australia may be left without a majority government for the first time since 1940. The Aussie has immediately entered an uptrend after this negative opening.

This week was volatile for the Australian dollar, but it generally declined against most other major currencies as the concern for the economic growth continues to haunt the markets.

The Canadian dollar tumbled today versus the US currency as the report about the slower pace of the Canadian inflation growth caused the investors to reduce bets on the increase of the interest rates by Canada’s central bank.

The euro slumped today after Axel Weber, the President of the Deutsche Bundesbank and Member of the Governing Council of the European Central Bank, suggested that the European Central Bank would be required to aid European Union’s struggling economy by the end of this year.

The Japanese yen rose today against most other major currencies on the speculation that the slowdown of the global economic growth will increase demand for the Japanese currency as the safe haven.