A flaring up in risk averse investor behaviour after a disappointing US payrolls report supported the yen and the dollar. The euro and higher yielding currencies came under pressure. EUR/GBP tested the 0.8600 resistance, but the test of this key

The Finance Minister in South Korea said that 'South Korea's economy continues to be weak despite of the improvement seen recently in the industrial output and the consumer spending.' This statement released from the Korean government indicates that still there

The greenback headed for a gain against the euro as rising unemployment in the U.S. and Europe added to speculation that the global recession will be longer than thought, boosting demand for the relative safety of the American currency. The

The week has come to an end, with dollar strong across the board and especially the euro, as the pair fell below important 1.40, amid renewed worries about the state of global economy and the so called recovery. Stocks fell

In the foreign exchanges, the weaker-than-expected payrolls data prompted a surge in risk aversion, with the U.S. dollar rising against the euro but falling against the Japanese yen. However, some of these moves have now been reversed in Asian and

The market was taken by surprise at the release of worse than expected Nonfarm Payrolls (out at -467K vs. -365K expected). The Unemployment Rate was lower than expected at 9.5% and the 'broad' unemployment (including unwilling marginally attached and part-time

The last day of the Asian week ended in a dynamic fashion right out of the gate as the Euro extended losses against the US Dollar as it collapsed almost 175 pips in a wave of stop loss selling in

Markets had set themselves up for a shock into the non-farm payrolls number, with analysts quite optimistic for a better number. However this was not to be and the headline number disappointed with 467k jobs lost in June compared with

The UK services PMI survey is likely to garner the most attention today, with US markets are closed. The manufacturing survey, released on Wednesday, rose more than expected to 47.0 in June from 45.4, while yesterday's construction PMI fell slightly

NFP's disappoint by showing a -467K decline in payrolls, 100K more than the consensus. This underlines the vast layoffs from the GM and Chrysler debacle and the continuing difficulty to revive the economy. The EURUSD dropped from it's high 1.41's

EUR/USD is trading very little changed from its US close. The move back into USDs that was prompted by the disappointing US payrolls data was extended into Asian hours initially. However, EUR buyers emerged below 1.3950 pushing the EUR moderately

The USD has a quiet overnight session and as could be expected volumes were exceptionally light. The markets are closed in the US today for the independence holiday and the only FX market active is the European market which will

The US morning saw a limited range of price action due to the Independence Day holiday. The EUR/USD consolidated around the 1.4000 level. The CHF did see a bit more action as the SNB reportedly 'check rates' to remind the

Liquidity was light ahead of the long Independence Day holiday weekend. The European Central Bank voted yesterday to keep monetary policy unchanged and ECB President Trichet's remarks indicate interest rates may be on hold for some time in the eurozone.

Trading conditions will be subdued on Friday with US markets closed for a holiday. There will be the risk of erratic trading, although the more likely outcome is that narrow ranges will prevail. Risk appetite is liable to be slightly

Overall, the dollar lost a few points during the first part of the session, but during European trade the whole currency market started moving side-ways. The only exception was the pound, which shed every pip gained earlier in the day

In Currencies: The USD encountered some retracement against the European pairs during the session following the gains on Thursday in the mist of the increase in risk aversion after the US payroll report. The EUR/USD recovered from the Asian lows

The worst economic recession since resulting from the credit crisis is still showing its negative impact on different sectors of the economy as indicated by the PMI indicator. The euro zone released today its PMI services for June coming in

It is indeed a pleasant end for the U.K.'s week, with the final major clue from the second quarter assuring that the headwinds are easing, and the contraction has slowed in the three months running to Jun; offsetting the abysmal

Forex markets are rolling around from day to day at the beck and call of equity market direction, and the dollar is bought as a hedge against those negative stock days. But, the flight to safety may have to be