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Egypt'S Turmoil Intensified &Nbsp; The US Dollar Rose 0.55% On Friday.

2011/1/29 9:11:00 64

Egypt US Stock Index Foreign Exchange

Friday morning, Beijing time, on Friday.

Egypt

The situation is further volatile, and investors are beginning to turn their assets towards relatively safer asset classes.

US stock index

The sharp decline in the US dollar was followed by a rise in various major currencies on Friday.


Earlier on Friday, the US Department of commerce data showed that in the fourth quarter of 2010, the US gross domestic product (GDP) increased by 3.2%, even though it was higher than the 2.6% growth rate in the third quarter, but still lower than the 3.5% growth rate generally predicted by the market. The consumer confidence in the US market in the early January is down to a ring ratio, which is also unexpected for investors.

The two sets of data pushed the US dollar exchange rate to a slight rise.


End

foreign exchange

At the end of the market, the US dollar index, which tracks a total of six major currencies, rose by 0.55% at 78.16 points.

The index had reported 77.699 points earlier on Friday.


The euro fell to 0.81% against the US dollar at 1.3617 U.S. dollars, and the British pound traded against the US dollar for 1.5869 US dollars, down 0.40%; the US dollar against Japanese yen closed down 81.17 at 81.17 yen on Friday.


Michael Wuhrer Falk, a senior currency analyst at Mellon bank in New York, said, "market participants continue to buy dollars and yen, and are prepared to earn profits through the euro buying positions.

The driving force behind this is the street protests in Egypt.

The risk aversion of the market has led to a widespread decline in the stock market, while pushing gold prices to new highs for many months.


At the close of the market, the Dow Jones Industrial Average fell 166.13 points to 11823.70 points, or 1.39, while the standard & Poor's 500 index fell 23.20 points, or 1276.34 points, or 1.79%.

In the same period, treasury bond prices benefited from the influx of hedge assets, and the yield of 10 - year treasury bonds fell by 6 basis points to 3.33%.

The price of treasury bonds usually has a reverse interaction with the yield.


Rating agency Standard & Poor's announced on Thursday that it lowered its sovereign debt rating to AA-, and the US dollar rose to 1.1% against the yen.

However, the trend has not lasted for a long time, confirming the view that market analysts' "downgrade evaluation is very limited to Japanese yen".

Barclays bank analysts even pointed out that "from the historical data, the impact of the reduction of Japanese sovereign ratings on the yen exchange rate can almost be ignored.

Only in countries with larger external risk exposures are currencies susceptible to rating adjustment, such as the euro zone, New Zealand and the United Kingdom.


In other currencies, the Australian dollar rose to 0.21% against the US dollar at 99.36 cents, while the US dollar rose 0.55% against Canadian dollar and closed at 1.0002 Canadian dollars.


Within a week, the dollar index was almost flat, the euro fell 0.1%, and the pound fell 0.8%.

The US dollar fell by 0.5% against the yen.

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