Currency Updates:
U.S. Dollar Trading (USD) remained on the front foot with economist upgrading their GDP outlooks for 2011 given the US Tax cut boost. The downgrade of Ireland 5 notches by Moody&rsquo s also helped the Dollar with the rating agency concerned about the Irish economy and escalating costs of the banking bailout.   In US stocks, DJIA -7 points closing at 11491, S& P +1 points closing at 1243 and NASDAQ +5 points closing at 2642.
The Euro (EUR) was doing well in Asia and Europe trading above 1.3350 until the Irish Downgrade sent the single currency plummeting to fresh lows on the week under 1.3150. December German IFO improved to 109.3 vs. 109.9 previously. EUR/USD traded with a low of 1.3134 and a high of 1.3358 before closing at 1.3181.
The Japanese Yen (JPY) very quiet with holiday trading keeping the major in a 40 pip range orbiting the Y84 level. EUR/JPY was much more volatile as the Irish downgrade sent the pair down 200 Sen in 2 hours. Overall the USDJPY traded with a low of 83.70 and a high of 84.21 before closing the day around 83.92 in the New York session.
The Sterling (GBP) moved in sympathy with the Euro falling sharply after the Irish downgrade with UK banking exposure linking the two currencies. EUR/GBP did fall back under 0.8500 after testing higher earlier in the day. Overall the GBP/USD traded with a low of 1.5455 and a high of 1.5646 before closing the day at 1.5518 in the New York session.
The Australian Dollar (AUD) avoided much of the volatility from the Irish downgrade with the market pushing EUR/AUD lower and AUD/USD finding support at 0.9850 once again. The Aussie has been in a 2 cent range for the last 2 weeks as end of year volumes fall. Overall the AUD/USD traded with a low of 0.9841 and a high of 0.9926 before closing the US session at 0.9885.
Oil & Gold (XAU) USD strength saw a test of $1365 but this held steady and the precious metal finished roughly unchanged. Overall trading with a low of USD$1364 and high of USD $1378 before ending the New York session at USD$1375 an ounce. Oil closed above $89 in the new February Contract month. WTI Oil Closed +$0.31 at $88.90 a barrel.
