Dollar Remains Steady amidst the U.S. Market Being Shut

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Dollar Remains Steady amidst the U.S. Market Being Shut
Dollar Remains Steady amidst the U.S. Market Being Shut

Dollar Remains Steady amidst the U.S. Market Being Shut

As the U.S. market was officially shut on Monday for the President’s Day holiday, there were hardly any trade seen that could affect the dollar value against all major currencies. The greenback remained steady, while overall dipping 0.005% to 80.14, against all the six other major currencies.

In early Asian trading reports on Monday, the U.S. dollar was already seeing a constant plunge against other major currencies, with hitting three-year-low against the Pound, three-week-low against the euro, and also plunging 0.2 percent against yen. It also showed slips against New Zealand Dollar, Australian Dollar and Swiss Franc.

Meanwhile later that day, USD/JPY rose 0.08% to 101.90, while recovering from its lowest 101.39 that occurred on February 6.

The yen gained despite weaker economic growth in Japan, which has expanded to 1% in the 2013’s last three months, beating the market expectation of a 0.7% quarterly growth.

The country’s finance minister Mr. Sho Aoyama too mentioned U.S. weaker economy growth as the major reasons why the nation’s consumer spending, investments and exports have shown disappointing numbers. U.S. Factory data is still in its unshakable lower mode, even after several attempt made by the Feds – deducing its asset-buying stimulus program being one of them.

EUR/USD continued to reach highs, and reached the market’s high of 1.3712 since January 24, rising 0.07% from 1.3702. The Euro zone’s fourth-quarter data is further hoping to boost its recovery mode – the result of which is likely to be the dollar losing its grip in the European market.

The ECB governing council also released a statement on Monday indicating the organization to constrict its monetary policy, while stating the banks bond buying program “highly irrelevant” in an improved economic situation.

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Moving further the GBP/USD currency pair, the dollar rose a little as 0.10 percent after escalating to 1.6725 from the early-Monday-data of 1.671. It was due to the Bank of England’s last week’s quarterly inflation report that indicated the fear of price hikes next year. The bank however also expected a 2% drop in the inflation.

The USD/CHF saw a marginal drop of 0.10%, sliding down to 0.8910.

The NZD/USD pair fell 0.12% to 0.8352 amidst the Monday reports showing improvements in New Zealand’s retail sales, which further led to a decent 0.7% rise in the nation’s final three months report in 2013. It was yet a little below than their expected growth of 1.2%. Meanwhile, the New Zealand’s economy is still expecting a quarter growth of the same number, and an annual growth of 1.6%.

The AUD/USD pair was dipped 0.08% to 0.9024, while the USD/CAD dipping 0.08% to 1.0965.

To contact the reporter of this story: Deepak Tiwari at deepak@forexminute.com