Cautious optimism is the watchword today, and that is helping other major currencies against the US dollar. Greenback is lower today as Forex traders find some reasons to look forward, and as some believe that, perhaps, a solution can be found that will keep Greece (and Spain) in the eurozone.
Mostly, Forex traders are just looking for a reason to show a little confidence. It’s been a rough few days, and the euro has been struggling in particular. Cautious optimism is being seen, and that means that the US dollar is headed lower.
Even the ADP employment report for May, which missed slightly, is not putting a damper on the modest risk appetite seen right now. Euro and pound are both moving a little higher against the US dollar, and commodity currencies are getting a boost against the greenback as well.
The Japanese yen is also higher against the US dollar. That’s to be expected, though; yen is strengthening against all comers, and Japanese leaders are threatening to intervene in order to weaken the yen.
At 13:14 GMT, US dollar index is down to 82.862 from the open at 83.059. EUR/USD is up to 1.2402 from the open at 1.2367. GBP/USD is higher at 1.5495, up from the open at 1.5478. USD/JPY is down to 78.5935 from the open at 79.0775.
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