Thursday, August 5, 2010

Asian markets advance after upbeat US data; Dollar trims losses

Forex Special  - Asian stock markets have been trading on bid tone on Thursday with investors confidence boosted by better then expected US data, which eased concerns recovery on the world's largest economy, and upbeat earnings forecasts by Toyota. In FX markets Euro and Yen pulled down against the Dollar.

Japanese Nikkei Index rose 1.3% driven by shares of automakers, which have rallied after Toyota released its quarterly earnings; a profit of JPY190 bill, and upgraded its earnings forecasts for the current year, to JPY340 bill, from JPY310 bill previously estimated.

Australian S&P/ASX market advanced 0.6%, with benchmark markets in Singapore, New Zealand and Indonesia rising. On the negative side, Hong Kong Hang Seng Index edged down 0.2%, while South Korean Kospi Index dropped 0.5% and Shangai Composite Index lost 0.6%.

Euro and Yen pull down

EUR/USD rally from 1.1820 area on early June extended on Tuesday's early European session to a fresh 3-months high at 1.3260, to consolidate at levels above 1.3200 on Wednesday before pulling back to 1.3130 low as the Dollar rose following better than expected employment and Non-manufacturing data, and consolidate during Asian session in a range between 1.3145 and 1.3175.

USD/JPY decline from 88 10 high on late July extended to a fresh 8-month low on Wednesday at 85.30, where the pair found support to bounce up after the release of US data, returning to levels above 86.00, reaching session high at 86.45 on Asian session.

GBP/USD resisted Dollar strength better than other majors, and Pound's pullback from 1.5970 resistance area was limited to 1.5855 low, and the pair remained trading in a narrow range below 1.5900 during Asian session.

EUR/USD (Aug 05 at 09:55 GMT)

1.3205/08 (0.34%)

H 1.3214 L 1.3119

[?]Trend Index[?]OB/OS Index
Slightly BearishNeutral
Data updated on Aug 05 at 09:30 (15-minute timeframe)

[ View EUR/USD Technical Studies ]


Enter your email address:

Delivered by Dollars Trade



Forex Special Copyright © 2010 Dollars Trade is Designed by Mian Asad Ali