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Tumbling Dollar Sends Equities Markets Sharply Higher

Discussion in 'Forex Daily News & Outlook' started by futuretrends24, Nov 10, 2009.

  1. futuretrends24

    futuretrends24 New Member

    Apr 30, 2009
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    Today’s sample of Futures Analysis from FuturesHound.com

    Demand for higher risk assets helped to trigger a strong rally in U.S. stock markets. The December E-mini Dow contract took out the October high at 10068 and made a new high for the year. The December E-mini NASDAQ and S&P 500 closed within striking distance of their highs for the year. The action by the Fed last week combined with bearish unemployment report is expected to keep pressure on interest rates which is helping investors build confidence in the long side of the market again. News that the G-20 finance ministers failed to back the Dollar at its meeting over the week-end, fueled most of the rally today.

    The U.S. Dollar Index reached a 15 month low on Monday following a massive sell-off against most major currencies. The Dollar has gone down since November 3 when it topped at a 50% price at 77.50. The 2008 bottoms at 73.79 and 73.67 are the next downside targets.

    The Greenback was trounced on Monday after the G-20 finance ministers failed to discuss the value of the Dollar at their week-end meeting, thereby, effectively offering no support. In addition, they decided to keep stimulus measures in place until the global economy can show sustained gains.

    Read full article at FuturesHound.com as well as Futures Analysis, Futures Education and exclusive timely market Gann Analysis

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