By CountingPips.com
The U.S. Dollar fell lower in forex trading against most of the major currencies today as renewed risk appetite dominated in the financial markets. Stocks, gold and oil traded to higher levels on the market optimism while the euro advanced by over 150 pips against the dollar. The U.S. currency lost ground to the euro, British pound, Canadian 
dollar, Australian dollar, New Zealand dollar and the Swiss franc today while the USD gained versus the Japanese yen.
The U.S. stock markets ended sharply higher today after being closed for the President’s day holiday yesterday. The Dow advanced by 169.67 points, the Nasdaq increased 30.66 points and the S&P 500 was up by 19.36 points. Oil traded 4 percent higher to the $77.13 level today while gold climbed by $29.80 to $1,119.30 per ounce.
The fears of the Greece debt crisis took a back seat today to the positive sentiment felt in the markets after weighing on the euro and European markets over the past weeks. Developments on the Greece front saw the European Union reiterate its support for the debt-ridden nation but also gave the country one month to formulate a plan to help cut its deficit.
Meanwhile, positive manufacturing news out of New York helped boost risk appetite today as data showed manufacturing activity grew in February at the fastest pace in four months. The Empire State Manufacturing Survey, a monthly business survey of New York State manufacturers and released by the NY Federal Reserve, rose by more than expected as the general business index increased by 9 points to 24.9 points in February from 15.9 in January. The 9-point gain easily surpassed forecasts expecting an 18.00 score and brought optimism of a recovery in the manufacturing sector.
EUR/USD 1-Hour Chart – The Euro on an upswing in the forex markets today against the U.S. dollar. The EUR/USD surged 150 pips higher and reached a high around the 1.3779 level today. This pair pushed through the 200-hour moving average in red and trades above this level for the first time in a month.
