The dollar gained today versus most of the 16 main traded currencies as China tightened its lending restrictions, raising risk aversion in
The U.S. currency continue yesterday’s advance as risk aversion coming from Asia is still playing a major role in market sentiment this week, and the safety provided by assets in the country became one of the best options for these turbulent trading sessions. The euro was one of the biggest losers versus the dollar touching the lowest rate in 2010 today after International Monetary Fund officials affirmed that Greece’s situation is serious, once again making the Southern European nation to affect the outlook for the bloc’s single currency. The New Zealand dollar declined as a report in the nation showed that consumer prices dropped in the country, surprising analysts.
Chinese’s new policy regarding loans to avoid a new credit bubble is decreasing risk appetite, and events in Europe aren’t good either, this is allowing the dollar to outperform most of its trading partners currencies, as the U.S. provided relatively good data today, as analysts affirmed.
EUR/USD bottomed at 1.4095 as of 17:17 GMT from a previous rate of 1.4272 yesterday. NZD/USD traded at 0.7190 from 0.7387.
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