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US focus: Dollar remains under pressure
03.08.2011 18:51:00

US dollar remains under pressure from worries that US economic recovery linger. Another factor to fall is ISM Non-Manufacturing data, which missed estimates. Better-than-expected statistics from ADP don't support the currency as last month ADP data were also significantly higher forecasts, but followed two days later government report showed substantial lower payrolls than expected.
The franc fell after the Swiss National Bank decided to cut its interest rate target to curb franc's sharp appreciation.
The Swiss franc renewed its downward trend against the dollar after the nation’s central bank said the currency is “massively overvalued.” The central bank said it "have to take measures against strong frank".
The loonie fell after Canada’s 30-year government bonds rose to the records dating at 1970. Earlier the currency war under pressure amid weak macroeconomic data in the US, Canada’s largest trading partner.
Yen continue gaining despite today Japan FinMin Noda said that “Yen is overvalued and will do "utmost" to stem yen strength”.
Australia’s currency rebounds against the U.S. dollar after its 5-day fall as today data showed an unexpected decline in retail sales in June. The Aussie also fell as the Bureau of Statistics in Sydney reported a lower-than-forecast trade surplus.
The New Zealand’s dollar also corrects versus the dollar. Today the currency slid to the lowest two weeks against the greenback after Fonterra Cooperative Group Ltd., the world’s largest dairy exporter, said whole-milk powder prices remained near an eight-month low.

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