The dollar is one of the most currencies today on the return of risk appetite into the forex market. The GBP/USD pair is lower today by 0.31% at $1.5105. The dollar has also made inroads into a number of its other peers in the latest round of trading. The dollar is being supported ahead of the Bernanke testimony which is set to take place later in the trading day.
There is a lot of demand for the European single currency today, as traders are of the view that it is undervalued at the moment. The reality is that the problems of the Eurozone are on the backburner, which has really given the EU a big boost. The EUR/USD forex binary option is trading higher today by 0.14% at $1.2924. Traders have decided to take the risk of going long on the euro as there is a rally in the region’s bourses.
There is a lot of weakness when it comes to the Japanese yen today. Trades have decided to ditch the Japanese currency due to the low returns which it is offering forex traders. They have been turned off due to the great amount of economic stimulus hat has been put into the Japanese economy. Instead, investors have opted for riskier currencies in order to make some attractive returns.
The good news is that there has been a rally in global stocks since yesterday afternoon. The most impressive gains have been made on Wall Street and in Asia. Asian bourses are trading at the highest levels in 5 years. This is positive if you have already decided to go long on your favorite stocks or indices.
Traders are hopeful of further advances when it comes to global stocks in the hours and days ahead.
Investors will be focused on U.S. data, as there are still fears that the U.S. economy is going down. A hawkish speech is key to boost stocks on Wall Street for yet another trading session. Therefore, make sure you stay tuned to the event.
Crude oil futures are weaker today by 20 cents at $95.98. Traders have decided to ditch the black gold today on the news that U.S. Crude supplies are rising. Commodities have been lower for most of the trading day, but there are signs of bullishness creeping in. It is important to take into account that there were even bigger losses a few hours ago.
Traders feel that crude is very much overvalued, and that is why they have decided to sell the commodity. Therefore, you may want to look into going short on the crude oil binary option in the next few hours.