U.S. Stock Surge Boost the Dollar- 02/07/2014

Currencies

USD

There seems to be a lot of strength for the dollar in the latest round of trading. Investors seem to be in the mood to go long on the U.S. currency due to the very high returns which are in it for them. In addition, there was a very important really when it came to U.S. equities during yesterday’s trading session. The EUR/USD forex pair is lower this morning by 0.01percent at the $1.3665 level. The dollar has also made important inroads into a number of its other peers, so going long is where the action is at today.

AUD

We are seeing a lot of weakness when it comes to the Australian dollar in the latest round of trading. Investors simply feel that it is not the right time to go long on the Aussie this Wednesday morning. This is as there is simply a lack of returns. This has come after the surged in U.S. stocks during yesterday’s trading session. Further weakness for the AUD/USD forex pair may be on the cards in the latter hours of trading today.

GBP

The pound sterling is one of the strongest currencies in the latest round of trading. The pound has made some very important inroad into the dollar and the euro. This has come as manufacturing in the U.K. is doing its best in a generation. Investors feel that they should go long on the GBP/USD forex pair in the hours ahead. Stay tuned to U.S. data while trading the pair

 

Stocks/Indices

Asian stocks are trading at their highest level in six years. It was great to see that there was a rally It was great to see that there was a rally when it came to U.S. stocks during yesterday’s trading season. Investors have felt that they should take big risks, as it is forecasted that rates will be kept near zero for a prolonged period. To top this off, some of the leading companies have posted better than expected profit.

The Dow Jones Industrial Average climbed 0.77 percent at the 16,956.07 level. The S&P 500 Index advanced0.67 percent tat 1,973.32.

Traders are hoping that there will be additional gains during the U.S. session this afternoon.

 

Commodities

Crude Oil

Crude oil has not been the best performers in recent trading session. The commodity is trading higher by 10 cents this morning following the really which we saw during yesterday’s trading session with regard to American equities. Traders are hoping that there will be big gains with crude oil futures in the hours ahead. If there turns out to be positive data, then this could give crude the rally has been waiting for. It may be a good idea to wait a few hours until going long on this black gold.

Gold

Gold is about level this morning, as traders feel that the commodity is a touch overvalued. Traders have decided to stay away from metals in the most recent trading. Investors seem to be waiting on the sidelines at the moment due to the lack of returns that the commodity is offering them. However, there may end up being important gains in the latter hours of trading.

 

Wild Card

Crude Oil

The crude oil binary option has been going higher in the past few hours of trading. Investors have been in the mood to go long on the commodity this morning. Therefore, it may turn out to be a good idea to go long on the black gold in the hours ahead.