latest forex news

Latest Forex News
8th October,2013
7:30pm UK Time

EUR/USD slips as faint hopes for budget impasse end emerge

The euro inched lower against the dollar in mid-session U.S. trading on Tuesday as hopes began to sprout that lawmakers will end a budget impasse that closed the government and threatened to derail efforts to lift the country's debt ceiling and avoid default.

In U.S. trading on Tuesday, EUR/USD was down 0.01% at 1.3580, up from a session low of 1.3558 and off from a high of 1.3607.

The pair was likely to find support at 1.3543, Monday's low, and resistance at 1.3607, the earlier high.

GBP/USD holds steady in cautious trade

GBP/USD Chart

The pound held steady against the U.S. dollar on Tuesday, as investors remained cautious amid ongoing concerns over U.S. budget negotiations and the prospect of a potential sovereign default.

GBP/USD hit 1.6121 during U.S. morning trade, the pair's highest since October 4; the pair subsequently consolidated at 1.6105, edging up 0.05%. 

Dollar struggles as U.S. default fears weigh

The dollar pulled back from session highs against the yen on Tuesday after the International Monetary Fund’s chief economist waned that a failure to promptly raise the U.S. debt ceiling could have a serious impact on the global economy.

During U.S. morning trade, the dollar trimmed gains against the yen, with USD/JPY up 0.27% to 96.96, after rising as high as 97.25 earlier.

IMF Chief Economist Olivier Blanchard said Tuesday that a prolonged failure to raise the U.S. debt ceiling would "almost certainly derail the recovery", and warned the U.S. to slow the pace of its deficit reduction program.

Euro hits session highs versus dollar

The euro rose to session highs against the dollar on Tuesday after the International Monetary Fund raised its 2013 growth forecast for the euro zone, while investors continued to fret over the political deadlock in Washington.

EUR/USD hit 1.3601 during U.S. morning trade, the session high; the pair subsequently consolidated at 1.3591, gaining 0.09%.

The pair was likely to find support at 1.3537, the low of October 4 and resistance at 1.3631, the high of October 4 and an almost eight-month high.

 

USD/CAD slightly higher in early trade

USD/CAD

The U.S. dollar was slightly higher against the Canadian dollar in early trade on Tuesday, but the pair looked likely to remain locked in recent ranges as concerns over political deadlock in Washington continued.

USD/CAD hit 1.0334 during early U.S. trade, the session high; the pair subsequently consolidated at 1.0322, easing up 0.11%.

The pair was likely to find support at 1.0290, Monday’s low and resistance at 1.0355, the high of October 2.