Daily Forex Commentary for July 30, 2009

July 30, 2009

Flight to Safety Buying Helps Buoy U.S. Dollar

The U.S. Dollar started out strong on Wednesday and managed to hold on to its gains against all major Forex markets. Weakness in the Shanghai Composite Index overnight helped put a little fear in traders seeking better returns in higher yielding assets. This triggered the initial strength in the Dollar but it was weakness in U.S. equity markets which fueled the selling pressure the rest of the day.

Weakness in the Euro and the British Pound was triggered by bearish …
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