Forex: Tuesday's review
The euro gained against the majority of its most-traded counterparts on speculation Greece’s parliament will approve an austerity package needed to ensure more financial aid and stave off the currency union’s first sovereign default.
The shared currency erased losses versus the dollar after European Central Bank President Jean-Claude Trichet said policy makers are in “strong vigilance mode,” signaling they intend to raise interest rates next week. The dollar fell against most of its major peers as stocks and commodities rose.
The greenback extended its losses after a report showed confidence among U.S. consumers unexpectedly fell in June to a seven-month low.
The Standard & Poor’s 500 Index rose 1 percent. The Thomson Reuters/Jefferies CRB Index of raw materials increased for the first time in five days, climbing 1.2 percent.
The euro rose after Trichet’s comments at a press conference in Amsterdam. The ECB raised its benchmark rate in April for the first time in almost three years, lifting it by a quarter point to 1.25 percent.
Greek lawmakers vote on Wednesday on the austerity package and vote the next day on a measure implementing it.
EUR/USD: on results of yesterday's session the pair grown in $1.4370 area.
GBP/USD: on results of yesterday's session positions of pair not changed.
USD/JPY: the pair shown high in Y81.30 area then decreased and finished session in Y81.00 area.
UK data is released at 0830GMT and includes the April Index of Services, BOE Lending to Individuals, May BOE Final M4 and May BOE Effective Rates.At 0900GMT, the EMU June business climate indicator data is released.
The US 24 June week EIA Crude Oil Stocks numbers are released at 1430GMT.