Euro extended losses to fall to a new four-month low against the dollar in the US trading session, weighed down by the political stalemate in Greece and the country’s possible exit from the euro. Soft economic data showing a drop in industrial production in the euro zone also weighed on the euro, as well as rising yields in Spain and Italy. EURUSD declined by 0.5 percent to reach a trough of 1.2824, the lowest level since January 18.
Sterling gained momentum against the dollar and the euro during the US session, taking on the role of a safe haven asset. GBPUSD moved off three-month lows and opened the session at 1.6060 to edge up to a high of 1.6122. EURGBP extended its decline to 0.7962, marking a new 3-1/2 year low.
Yen gained strength due to safe haven flows, causing concern to Bank of Japan officials. However, intervention in the currency markets is not expected at this time. USDJPY fell to as low as 79.67 in mid-US session trading from an earlier 80.17 high. EURJPY fell 1 percent to a low of 102.21 from an earlier Europe session high of 103.29.
The Australian dollar fell below parity against the greenback as a result of continued risk aversion that is weighing on the commodity-linked currencies. Soft Chinese data is also weighing on the aussie since China is a major trading partner. Focus is on Tuesday’s Reserve Bank of Australia monetary policy meeting minutes which will give a better idea of the near term outlook for monetary policy and whether the RBA would cut rates in the near term. AUDUSD fell to 0.9957, the lowest since December 2011.
The Canadian dollar lost all gains made on Friday following an improved jobs report. The commodity-linked loonie fell in line with commodity prices, especially crude oil, which is a major Canadian export. USDCAD rose to 1.0050, close to a four-month high reached last week.
Crude oil is down US$12 a barrel since the beginning of May, touching US$94.05 today.
By clicking “Continue”, you agree to the default cookie settings on our website.
Trading Point uses cookies to ensure that we provide you with the best experience while visiting our website. Some of the cookies are needed to provide essential features, such as login sessions, and cannot be disabled. Other cookies help us improve our website’s performance and your experience through personalising content, providing social media features and analysing our traffic. Such cookies may also include third-party cookies, which might track your use of our website. You may change your cookie settings at any time.
Read more, or change your cookie settings.
What are Cookies?
Cookies are small data files. When you visit a website, the website sends the cookie to your computer. Your computer stores it in a file located inside your web browser.
Cookies do not transfer viruses or malware to your computer. Because the data in a cookie does not change when it travels back and forth, it has no way to affect how your computer runs, but they act more like logs (i.e. they record user activity and remember stateful information) and they get updated every time you visit a website.
We may obtain information about you by accessing cookies, sent by our website. Different types of cookies keep track of different activities. For example, session cookies are used only when a person is actively navigating a website. Once you leave the website, the session cookie disappears.
Why are cookies useful?
We use functional cookies to analyse how visitors use our website, as well as track and improve our website’s performance and function. This allows us to provide a high-quality customer experience by quickly identifying and fixing any issues that may arise. For example, we might use cookies to keep track of which website pages are most popular and which method of linking between website pages is most effective. The latter also helps us to track if you were referred to us by another website and improve our future advertising campaigns.
Another use of cookies is to store your log in sessions, meaning that when you log in to the Members Area to deposit funds, a "session cookie" is set so that the website remembers that you have already logged in. If the website did not set this cookie, you will be asked for your login and password on each new page as you progress through the funding process.
In addition, functional cookies, for example, are used to allow us to remember your preferences and identify you as a user, ensure your information is secure and operate more reliably and efficiently. For example, cookies save you the trouble of typing in your username every time you access our trading platform, and recall your preferences, such as which language you wish to see when you log in.
Here is an overview of some of the functions our cookies provide us with:
This website uses Google Analytics, a web analytics service provided by Google, Inc. ("Google"). Google Analytics uses analytical cookies placed on your computer, to help the website analyze a user's use of the website. The information generated by the cookie about your use of the website (including your IP address) may be transmitted to and stored by Google on their servers. Google may use this information to evaluate your use of the website, to compile reports on website activity and to provide other services related to website activity and internet usage. Google may also transfer this information to third parties, where required to do so by law, or where such third parties process the information on behalf of Google. Google will not associate your IP address with any other data held. By using this website, you give your consent to Google to process data about you in the manner and for the purposes set out above.
Change Settings
Please select which types of cookies you want to be stored on your device.
We are using cookies to give you the best experience on our website.
Read more or change your cookie settings.