245618 Resource 128469 120646 120646 1258640846936 1258640846936 Controlled U.S. Dollar Gains in Forex Trading

Greenback higher in currency trading on risk aversion

<p style="color: #000000;"><font size="2" face="verdana,arial,helvetica,sans-serif">The <b>risk trade</b> is once again faltering. After yesterday's rejected attempt by the euro to break through 1.50, it is little surprise that consolidation is the name of the game today. The economic news that is sending the risk trade out of favor is helping the dollar today.</font></p> <p style="color: #000000;"><font size="2" face="verdana,arial,helvetica,sans-serif">GFT's <b>Kathy Lien</b> reports in <a href="http://www.fx360.com/commentary/kathy/2329/us-dollar-more-signs-of-sobering-recovery.aspx?aid=5704" target="_blank" title="Kathy Lien, FX360, dollar forex trading, forex trading, U.S. dollar, currency trading, jobless claims, economic data">FX360</a> that some of the factors that are leading to risk aversion include:</font></p> <ol style="color: #000000;"> <li> <font size="2" face="verdana,arial,helvetica,sans-serif">Continued weakness in the <b>U.S. housing market</b>, as evidenced by October's home building starts.</font></li> <li><font size="2" face="verdana,arial,helvetica,sans-serif">Unexpected <b>inflation</b> in October, at a time when many people probably can't afford the higher prices.</font></li> <li><font size="2" face="verdana,arial,helvetica,sans-serif">Weakness in the labor market, even though <a href="item/245617" target="_blank" title="Kathy Lien, FX360, dollar forex trading, forex trading, U.S. dollar, currency trading, jobless claims, economic data">continuing jobless claims</a> have fallen.</font></li> </ol><font size="2" face="verdana,arial,helvetica,sans-serif" style="color: #000000;">In the end, it is more about conflicting economic data than anything else. Investors are showing caution, concerned that they got ahead of the pace of economic recovery. As a result of this caution, the <b>U.S. dollar,</b> which has been a safe haven currency, is gaining in forex trading.</font><br /> 9 application/xml false currency trading dollar forex trading economic data forex trading FX360 jobless claims Kathy Lien U.S. dollar Currency trading on the FX market http://www.gftforex.com/land/?aid=7356 Mozilla/5.0 (Macintosh; U; Intel Mac OS X 10.5; en-US; rv:1.9.1.5) Gecko/20091102 Firefox/3.5.5 GTB5 127.0.0.1 127.0.0.1 mmarquit 63.248.48.57 false true false false true 128469 blog blogsite/GFTForex/web