Forex: Tuesday’s review

The euro traded near a course nearly two-week high against the U.S. dollar amid the region's finance ministers meeting in Brussels, the purpose of which is to discuss the provision of 15 billion euros for Greece.

The yen fell for a fifth day against the dollar even after a representative of the opposition party, the Bank of Japan Governor Masaaki Shirakawa said that the proposals for currency depreciation are unrealistic.

The dollar rose against most of the 16 most traded currencies as Federal Reserve Chairman Ben Bernanke warned that the U.S. economy could fall into recession, in case, if lawmakers can not escape the so-called "financial failure." Note also that his comments match what he said in the past, namely that unemployment is still high, the housing market is gradually recovering, and one only, monetary policy can not solve the problems in the U.S. economy. This is yet another signal of the U.S. Congress that it has reached an agreement on long-term debt. Meanwhile, he has not commented on the situation with Operation Twist, whose term comes to an end this year.

At the same time, these currencies like the New Zealand dollar, Australian dollar and South African rand depreciated, which was caused by the fall in commodity markets.

Note also that the earlier the euro fell as ratings agency downgraded France by one notch to Aa1 from Aaa, saying at the same time that the country's prospects remain negative.

The Canadian dollar fell against most currencies as speculation regarding the cease-fire the Middle East has caused oil prices decline, which departing month high. But currency losses were limited, because the International Monetary Fund said it is considering classifying the Canadian and Australian dollar as a reserve currency. Well as the depreciation of the currency affected the published data, which showed that the volume of wholesale sales fell in September, registering with the fastest rate of decline over the past 19 months. According to the report, wholesale sales fell by 1.4% to 48.8 billion Canadian dollars.