Currency Market Analysis
Dec 29, 2015 | Currency Market Analysis
The dollar kept mostly to an even keel in generally quiet holiday trade. Still, some currencies were making some noise. China's yuan fell to four-month lows while Sweden's crown burst to nine-month peaks against the euro. The few currency players around continue to mark time ahead of the new year by holding off on major bets, keeping the dollar confined to well-trodden ranges. A report today is forecast to show an uptick in U.S. consumer optimism.
The euro kept to barely discernible movements against the dollar but it tanked to nine-month lows against its Swedish counterpart. The crown reigned supreme on the view Sweden's economy is on the mend and that maybe official interest rates wouldn't fall any further.
Oil stabilized after its latest rout but not by enough to ease downward pressure on Canada's beloved loonie. Consequently, the northern dollar kept in close range of 11-year lows against the big greenback.
A mixed buck slipped against the Swedish crown but clocked a four-month peak against China's yuan. Overall, though, the dollar kept to a slender range as traders marked time ahead of the new year by holding fire on big, market moving bets. China's yuan extended its descent as Beijing shows signs of liberalizing its currency to allow market forces to hold some sway.
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