On Wednesday, the Greenback sagged to fresh three-year lows vs. a basket of major currencies, as the end of the U.S. government shutdown failed to give support to the U.S. dollar. On the release front, traders are awaiting the U.S. Existing Home Sales (MoM) (DEC), which expected to hit -1.9% from 5.6%.
The Euro rose by 0.37%, to settle at $1.2319 strongly supported by growing optimism the ECB could signal a quicker exit than expected from its stimulus program. On the release front, Euro Zone Composite Output Index rose from 58.1 in December to a near 12-year high of 58.6 in January, above forecasts for 57.9.
The Sterling pound rose as much as 0.61%, to settle at $1.4088, its highest level since the Brexit vote.
Against Yen, the U.S. dollar fell strongly be 0.62%, to settle at ¥109.60.
Early on Wednesday, Gold prices edged up to their strongest level in more than four months, as the Greenback declined to three-year lows. Gold Futures - Feb 18 (GCG8), rose by 0.35%, to settle at $1,336.50.
Oil prices settled down, negatively affected by data that showed an increase in U.S. crude oil and gasoline stockpiles. The U.S. crude inventories increased by 4.8 million barrels in the week to Jan. 19 to 416.2 million, after nine weeks of declines, the American Petroleum Institute said yesterday. Crude Oil WTI Futures - Feb 18 (CLG8) rose as much as 0.05%, to settle at $64.44 and Brent Oil Futures - Mar 18 (LCOH8) was down by 0.43% at $69.66.
The most important economic events
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