The U.S. dollar pushed higher against the other major currencies on Wednesday, as weak euro zone retails sales data and a disappointing Spanish government debt auction weighed on demand for the single currency.
While, Gold futures slipped lower during U.S. trading hours on Wednesday, with prices dropping below the key USD1,700-level as profit takers continued to hit the yellow metal.
- The Australian dollar was steady against its U.S. counterpart on Wednesday, after tepid economic growth data from Australia, although hopes for progress in tackling the euro zone debt crisis supported sentiment.
- The euro traded down against the U.S. dollar Wednesday as bearish euro zone economic data and a lack luster Spanish bond auction weighed on the single currency, while U.S. data provided a mixed picture.
- The pound held steady against the U.S. dollar on Wednesday, after the U.K. Chancellor George Osborne revised down his prospects for economic growth, while data showed that U.S. service sector activity expanded for the 35th consecutive month in November.
- The U.S. dollar turned higher against the yen on Wednesday, as risk appetite was bolstered by progress in tackling the debt crisis in the euro zone, dampening demand for the traditional safe-haven yen.
- Gold futures rebounded from the previous day’s sell-off on Wednesday, with prices coming off a four-week low as market players continued to monitor negotiations among U.S. lawmakers to avoid the looming “fiscal cliff” crisis.
To download complete report; CLICK: Forex and Gold Daily Report 06 December 2012