By: Barbara Zigah
In early morning trading in London, the U.S. Dollar Index fell versus a group of six major currencies, touching on its lowest price in almost two weeks, as investors turn to higher yielding assets following the better than expected earnings reports from U.S. financial giant Goldman Sachs and computer chip maker, Intel, which were released yesterday. According to one currency strategist in Germany, investors are encouraged by the recent positive U.S. earnings reports and that’s a plus for risk takers.
As reported at 7:49 a.m. (BST) in London, the U.S. Dollar Index was trading at 79.559 .DXY, a loss of more than .6% and the lowest price since July 1st. Versus the greenback, the Euro moved up .6%, to trade at $1.4045. Other higher risk/higher yielding currencies also did well versus the U.S. Dollar, with the Australian Dollar rising nearly .3% to $0.7966.
The Japanese Yen slipped versus the Euro, trading at 131.27 Yen, a loss of .4%. Analysts suggest that the Yen’s struggles can be blamed on a 1% gain in European share prices earlier in the day. However, the Yen was seemingly unaffected by the Bank of Japan’s move to expand the timeframe of the corporate financial support measures by increasing it for an additional three months, though some analysts did expect a longer extension of time.
U.S. Dollar Index slips on Better-than-Expected Earnings Reports
After working on Wall Street, Barb began her second career as a freelance writer at Daily Forex, where the CEO recognized fresh, untapped potential and was willing to give her a try. She’s never looked back. Since then, she’s worked steadily as a freelance writer and editor in the financial services and Forex-related industry.