US Dollar Heads Lower in Forex Trading

Greenback in currency trading

US dollar is heading lower almost across the board today as risk appetite makes an appearance. Optimism about the Greek debt situation is helping the euro in forex trading, and boosting the 17-nation currency above the 1.30 level.

Additionally, stocks are gaining, and the US dollar often moves inversely to stocks, since the greenback is more of a safe haven currency and stocks are considered riskier assets.

Also, with commodities rising, that puts downward pressure on the greenback. Commodity currencies are getting a boost against the US dollar, including the Canadian dollar. Loonie is gaining as oil prices rise, helped along by the expectation of a European Union embargo on oil from Iran.

While the US dollar could return to strength quite quickly, for not the situation is one of risk appetite, and the greenback isn’t needed as a safe haven. 

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