Following the U.S. Treasury's announcement to inject $250 billion into financial institutions this week, the dollar finally appears to have broken its 3-day downward trend against the other major currencies. The dollar was traded at $1.3575 against the EUR at the end of yesterday's trading session after climbing steadily to 1.3767 over the course of the last few days. The previous appreciation of the USD was largely due to the reluctance of banks to lend to one another, which spurred a surge in demand for U.S. currency funding in global money m... ( read more )

The Greenback saw mixed results yesterday against its major currency rivals as the absence of any fundamental data left the USD movement in the hands of market speculators. The USD began the day bearish inching every so close to record lows against the EUR before it rebounded after U.S. Treasury Secretary Henry Paulson announced a rescue plan with tighter mortgage regulations for the failing mortgage lending giants Freddie Mac and Fannie Mae. The EUR/USD fell from 1.5961 to 1.5864 during the short period after that, hitting daily lows near 1.58... ( read more )

During yesterday's trading the greenback suffered a bearish trend versus its major currency rivals. The USD lost 80 pips against the EUR and closed at 1.5552 before reopening of the Japanese market. The dollar also lost against the GBP, seeing a 90 pip drop as it closed trading at 1.9632. The movement can largely be tied to fundamental news from yesterday. Crude Oil Inventories came in lower than expected at -4.6M, as reports had initially expected a 4M swing in the opposite direction. The Beige Book which provides a compilation of evidence sup... ( read more )