Market Review 20.8.12

Source: ForexYard

The US dollar hit a fresh five-week high against the JPY in overnight trading, as positive American news from last week continues to boost optimism in the US economic recovery. After peaking at 79.65, the USD/JPY experienced a slight downward correction, and is currently trading around the 79.50 level. Crude oil extended its recent gains last night, as tensions in the Middle East combined with increased demand in the US caused investors to open long positions. Oil gained more than $0.70 to peak at $96.80 a barrel. The commodity is currently trading around the $96.60 level.

Main News for Today

With no major news events scheduled for today, traders will want to monitor any announcements out of the euro-zone with regards to any plans to lower borrowing rates in Spain and Italy. Positive news out of the EU could turn the euro bullish today.

Forex Market Analysis provided by ForexYard.

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