Dollar Looses its Attention

**intelligent** Thu Dec 07, 2006 5:07 am

Dollar Looses its Attention
From the past few weeks the U.S dollar has been focused by many markets as it was declining day by day. But now since, the European Central Bank has increased the interest to 3.5%, in this manner the Euro has made a big way. And now every other market is interested to catch news about the Euro, even, the foreign exchange market and as well the media is highlighting and focusing on the strong Euro.

It seems that the thanksgiving holiday which is boon to many people in the U.S has become a bane for the U.S currency market. From that holiday, the dollar is not doing well in the U.S currency market. The dollar has fallen down to by 2.7% against the Euro from this holiday.

On the whole in this year, the Euro has risen 12.8 per cent against the dollar, 10 per cent against the yen and 5.2 per cent on a trade-weighted basis, according to ECB figures. The Euro is enjoying its raise against other currencies at present. Let’s see how the currency markets will be at the end of this year?

**patanx** Thu Dec 07, 2006 2:13 pm

Dollar Falls vs. Euro After Trichet Comments
The dollar traded a touch lower versus the euro Thursday after the head of the European Central Bank signaled further interest-rate increases for 2007, but dented hopes for a rate hike in February.

In New York trading, the dollar was quoted at 115.15 yen, compared with 115.23 yen late Wednesday. The euro changed hands at $1.3291, from $1.3281.

So let's see what happens on February... my guess is for the rates to go down a quarter of a point...

Hope it helps the dollar to hold agains the Euro & the Yen, but as far as I know it would not do anything. Right now is Asia the one that's affecting the U.S currency with China willing to sell it's dollar reserve.

In any case I suggest to buy Euros... the currency is predicted to go up as it has been till now.

**intelligent** Fri Dec 08, 2006 3:33 am

Dollar looses its attention
Though the Euro has risen against the dollar and the Yen,but Euro couldn't be the centre of attraction for more time. The European Central Bank gave traders no excuse to buy the single currency. The ECB may hike the interest rates once more.

But still Euro is making a big way