Excerpt from: GFT News
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| March 02, 2009 | | Forex trading with the greenback | The US dollar is gaining in currency trading on the FX market today, spurred higher by risk aversion. The news of a newly restructured AIG bailout has traders jittery. There are concerns that the US financial system is in even bigger trouble than originally thought, and this is prompting interest in safe haven moves.
Flight to safety
In forex trading, the greenback has become the safe haven currency of choice. Even though the US economic system is in trouble, it is still considered the most stable economy in the world. As a result, it is not terribly surprising that US assets are in demand. The world's economic superpower is expected to make good on its debts -- eventually.
At any rate, the US dollar is strengthening in currency trading, and for the immediate future, as long as bad news continues to roll in, the greenback is likely to maintain its strength.
| Topic Tags: AIG, currency trading, currency trading FX market, dollar currency trading, forex trading, forex trading greenback, FX market, US dollar, US economy | |
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