The U.S. Dollar made some significant gains today, following a string of poor results from the world’s largest economy. This behavior is opposed to yesterday’s weak USD, which dropped on increasing optimism. The Producer Price Index (PPI) rose by 0.3 %, as opposed to the forecasted 0.6 % increase. The Core PPI unexpectedly declined, and the Industrial Production figures were worse than forecast too. This led to a buy-up of the safe-haven USD.
The EUR/USD pair rose by 120 pips today, as it currently stands at the 1.4847 level. The USD also reversed some of yesterday’s losses against the British currency, as the GBP/USD cross fell by 35 pips today to the 1.6786 mark. The U.S. Dollar also made some inroads into the JPY, as the USD/JPY cross has risen by 20 pips so far today. As late night trading kicks in, it is recommended that you continue buying into USD positions, as today’s trends are expected to continue.
