There was a lot of volatility for the dollar during the week that just passed. The U.S. dollar slumped versus the yen last week, with the paid seeing the worst slump in 13 weeks. This came as the Fed made it clear that the borrowing cost will be kept low for a prolonged period. The USD/JPY forex pair fell 0.7 percent during the week that just passed to 101.30 yen. The U.S. dollar also fell a touch versus the euro, as traders just have no confidence in the greenback at the moment. Traders are of the view that the dollar will go even lower in the days ahead.
The Canadian dollar has been of the most volatile currencies in recent trading sessions. The loonie slumped from its highest level in nearly six months against its peers. The CAD was higher for most of the week, but dropped at the end of the trading week. This came as the unemployment rate climbed to 7.1 percent. The rate of jobs growth has slowed down to the slowest level in four years. Traders will be keeping a close eye on the economic data coming out of the Canadian economy this coming week, so look to go short on the CAD.
The yen was able to make some very important inroads into the dollar during the trading week which just came to a close. The yen climbed versus most of its 31 major person the fear that the disaster with regards to Portugal’s banking sector may spread to other countries in the region. Therefore, the demand for the haven yen surged. Investors may continue going long on the JPY once Monday’s trading gets going
The S&P 500 Index capped its worst week since April on the banking crisis in Portugal. There are fears that the situation could spread to other countries.
We have seen stocks fall form record levels, as traders now understand that the rally which we saw as of late was overdone.
The S&P 500 Index tumbled 0.9 percent during last week’s trading session to 1,967.57. The Dow Jones Industrial Average added 124.45, or 0.7 percent, to 16,943.81.
Traders will want to follow all of the economic data once the coming trading week gets going. This will be crucial in determining how strong or weak American stocks or indices will be by week’s end.
We saw the crude oil binary option get hit really hard during last week’s trading session. In fact, the black gold fell below the $101.00 level. It fell to a three-week low as supplies increased from Iraq and Libya. In addition, there were higher supplies in Cushing, Oklahoma. Oil saw its third straight weekly loss. There could be upward pressure in the next few days of trading, so make sure to open your positions wisely on Monday.
The gold binary option was higher for certain parts of the trading week, but did happen to slide from highs on Friday. This came in spite of there being a big crisis with regards to Portuguese banks. The thing is that looking over the trading week, there has not been enough convincing action when speaking of the commodity. There may be losses in the days ahead, so open weekly Call options on Monday.
There has been much movement for the crude oil binary option as of late with investors taking a lot of money out of the black gold. The thing is that the commodity may be hit hard sooner rather than later.