USD Trading Outlook (22-09-2011)

U.S. Dollar Trading (US) surged against a number of currencies on Wednesday as the Federal reserve pushed ahead with plans to increase its share in long term treasuries by $400 billion, by June 2012, ensuring long term rates will remain cheap. The move failed to boost sentiment as US share markets slumped with the Dow Jones falling 284 points (-2.49%) NASDAQ down 52 points (-2.01%) and the S&amp P down 42 points (-2.61%) giving up earlier session gains as existing home sales rose by 7.7% in the month of August. In other news, Moody&rsquo s decision to downgrade of Citibank added further negative sentiment to equity markets. &nbsp