Source: ForexYard
The euro extended its upward movement against the US dollar in overnight trading, as investors continued shifting their funds to riskier assets following the Fed’s decision to initiate a new round of quantitative easing. Since the Fed’s decision was announced, the EUR/USD has advanced close to 150 pips, and is currently trading at the 1.3040 level. Gold was also able to take advantage of risk taking in the marketplace, and has been able to gain more than $40 an ounce since yesterday evening. The precious metal is currently trading above $1770 an ounce, a six-month high.
Main News for Today
US Core CPI- 12:30 GMT
• The indicator is forecasted to come in slightly higher than last month’s
• If true, the dollar could recoup some of yesterday’s losses against the euro
US Retail Sales/Core Retail Sales- 12:30 GMT
• Both indicators are forecasted to come in at 0.7%, slightly below last month’s 0.8%
• If the expectations turn out to be true, the dollar could see additional losses against its main currency rivals before markets close for the weekend
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