Thursday's trading can best be described as 'scrappy'. There was no dominant theme for traders to cling to so they were cautious and reverted to type, following equity markets moves as a signal for risk appetite and as a barometer

USD is trading lower pressured by improving risk sentiment as equity markets rise, by PBOC call for the creation of a super sovereign global reserve currency, and by crude oil price rise above $70 a barrel in reaction to Nigerian

China knows its symbiotic relationship with the US is over. You remember the one; it was based on US buying likely drunken sailors and China sending its sailors over to drop off container cartons of stuff, fill them with US

Income and spending both moved higher in May, with income up 1.4 percent on the month. Gains in disposable income (1.6 percent on the month) were largely the result of increased social benefit payments and reduced taxes related to the

Overall, the currency market traded in a range-bound fashion during the European session, even though in the second part the major pairs posted some relatively strong moves against the dollar. The currency market had a weak attempt during the Asian

The rise of risk appetite evident during Asians hours last night was maintained, albeit in a more half-heartened manner during the London session. European stock indices are trading modestly higher and while EUR/USD is still holding above last night’s NY

The greenback declined against the Euro, as Asian stocks gained for a third day and traders added to bets that the Federal Reserve will keep interest rates low. The dollar fell against 12 of the 16 major currencies as Dallas

The Federal Reserve issued a press release yesterday evening announcing extensions and some modifications to a number of its liquidity facilities. In general, the interest for taking out liquidity through the various facilities has been on a downward trend. By

In Currencies: Combination of factors helping to keep the USD sentiment on a soft tone. Dealers noting that a revival in stock markets and associated risk appetite has correlated with a fresh bout of dollar weakness coupled with higher oil

The Bank of England today released its semiannual Financial Stability Report saying that the world's financial systems are shaky to face anymore crises from either economic or financial reasons despite the recent improvements in markets that we have been witnessing

Personal consumer expenditure (PCE) rose an expected 0.3% in May following unchanged spending in April (previously reported as down 0.1%). Spending was supported by the 1.4% jump in personal income with a one-time increase in social security payments, an element

The savings rate rose to the highest level since December 1993 amid the ongoing recession, as rising personal income as a result of increased governmental aid to Americans failed to revive consumer spending amid rising job losses, tightened credit conditions,

In currencies, the dollar has consolidated in the lower end of its session trading range this morning, weighed down by a PBoC financial stability report that mentioned the reserve currency issue. EUR/USD tested above 1.4100 as New York traders got

The dollar declined against both the euro and the yen, falling to $1.4085 from $1.3988 per Euro and ¥95.57 to ¥95.95 per USD from yesterday, respectively. The pound gained for the first day in three versus the dollar, rising 0.7%

The week seems to be ending on a weak note for the dollar after the Governor of the People's Bank of China repeated earlier calls for less reliance on the greenback and urged the IMF to widen the number of

The USD is moderately lower after starting Asia on the defense overnight, overnight news was light and traders see a day of two-way action ahead. Major fundamental news overnight was another repeated call by China for a new supra-national currency

Overall confidence in the dollar will remain generally fragile with further unease over the risk of medium-term flows away from the US currency. It will be difficult to secure a decisive direction with trends in risk appetite still very important.

The week had ended, as we are waiting for next weeks fundamentals, where the highlight would be the rate decision and Trichet after decision speech. Trichet might give us the exact details when they would purchase the long-term bonds and

China is back rattling its saber on the issue of its dependence on the US dollar, calling for a "super-sovereign" currency modeled on the IMF SDR's, in which the basket is slightly less weighted toward the dollar. Haven't we been

USD traded lower Friday pressured by a reiteration of China's call for the establishment of a super sovereign world reserve currency. China's central bank says that the dominance of the USD has intensified risk and worsened the global financial crisis.