Currency Updates:
U.S. Dollar Trading (US) some calm on Friday with the market remaining positive and trading on most pairs subdued compared to the violent moves seen in the past week. USD/CHF continued to move higher as the market reacted to Swiss intervention talk. In US stocks on Friday, DJIA +125 points closing at 11269, S& P +6 points closing at 1178 and NASDAQ +15 points closing at 2507. Looking ahead, August NY FED Manufacturing forecast at 0 vs. -3.76 previously.
The Euro (EUR) found support under 1.4200 and grinded higher to end within striking distance of 1.4300. The stabilizing Eurozone debt crisis is allowing more risk appetite to support the EUR/JPY and EUR/CHF rebound. The outlook this week will be closely linked to the stocks markets which have opened well supported on Monday.
The Japanese Yen (JPY) seemed content to remain in a well-defined Y76.50-Y77 range with the action left to the crosses which rallied with the notable exception of CHF/JPY.   AUD/JPY and EUR/JPY are targeting the key resistances at Y80 and Y110.
The Sterling (GBP) rallied to 1.6300 in Europe before going to sleep for the rest of the day in a 20 pip range. The market was supported on strong European stocks which rallied after a short ban was put in place on banking stocks to stop manipulation from rumors rife in the current environment.
The Australian Dollar (AUD) The Aussie did well rebounding back to the 1.0350 resistance tracking stocks in the US and finishing the week on a positive footing after a rollercoaster ride. The risk sensitive currency is taking its cues from the Global stock market with the potential for large moves providing good trading opportunities.
Oil & Gold (XAU) Gold continued to pull back for a second day with sovereign debt fears subsiding. Crude was volatile surging above $87 before falling back to the key $85 level.
