Daily Insight

Tuesday, September 7th, 2010

The euro slid the most in more than two weeks against the dollar as weaker German factory orders and concern that government-bond assets will hinder European banks’ fiscal health undermined the outlook for economic growth. A report showed German factory orders unexpectedly fell in July. Adjusted for seasonal swings and inflation, orders declined 2.2 percent from June. The 16-nation currency depreciated versus 14 of 16 major counterparts

The yen strengthened to a 15 year high versus the dollar as the Bank of Japan refrained from announcing a fresh increase to bank loans at its policy meeting. The yen gained against all 16 most traded counter parts.

The Australian dollar fell as the central bank kept the benchmark interest rate unchanged for a fourth month, stating that the global economic outlook remains uncertain. Also helping the Aussie to drop was the re-election of Prime Minister Julia Gillard as she won the backing of key independent lawmakers, allowing her Labor Party to remain and pursue a tax on mining companies.

Canada’s dollar fell the most in a week against the U.S. dollar as global stocks and crude oil dropped. The Canadian currency declined for the first time in three days before Bank of Canada meets tomorrow on interest rates. The Canadian dollar has weakened 0.8 percent.

Have a great day!

MARKET INDICATORS

DOW 10404.49 NASDAQ 2227.47 OIL 73.69 GOLD 1249.20
JPY  HIGH 84.26 LOW 83.52
EUR HIGH 1.2877 LOW 1.2736
GBP HIGH 1.5399 LOW 1.5335
CHF HIGH 1.0148 LOW 1.0086
AUD HIGH .9175  LOW .9093
CAD HIGH 1.0433 LOW 1.0349