Forex: US Dollar Index flat ahead of FOMC minutes

FXstreet.com (Barcelona) – The greenback, measured by the US Dollar Index, is trading almost unchanged on Wednesday ahead of the FOMC minutes due in the European evening. The dollar has

FXstreet.com (Barcelona) – The greenback, measured by the US Dollar Index, is trading almost unchanged on Wednesday ahead of the FOMC minutes due in the European evening. The dollar has

Commodity prices fell in Europe as Greece-linked risk aversion gripped markets. Minutes from the Fed’s April meeting may compound losses as QE3 bets fade.

The safe-haven US Dollar and Japanese Yen may correct lower as a large batch of Eurozone and US economic data threatens to spark profit-taking.

As the financial situation in Europe continues to deteriorate, FX traders need to decide what currencies are most at risk an which are safe havens.

Market sentiment weakened further on Tuesday as Greece failed to form a coalition government, and the shift away from risk-taking behavior may gather pace during the North American trade as the ongoing turmoil in Europe drags on investor confidence.
Gold and silver declined again yesterday and thus both metals were traded down in eight out of the ten business days in May (so far). On today’s agenda: Euro Area GDP for Q1 2012 , German and Euro Area ZEW economic sentiment reports, U.S Core CPI and U.S. TIC Long Term Purchases

Gold, Silver Rise as US Dollar Pulls Back After Eurozone GDP Data

German ZEW results were mixed and Eurozone GDP data was weaker than expected.

Exports to emerging markets led increases, offsetting falling demand in Europe. Market focus remains on political developments in the Eurozone as Greece struggles to form a government…

The safe-haven US Dollar and Japanese Yen may correct lower as a large batch of Eurozone and US economic data threatens to spark profit-taking.