Daily outlook – 27th July 2012 (00:30GMT)

The US dollar (USD) produced losses versus a basket of currencies as Core Durable Goods Orders disappointed while Unemployment Claims were slightly improved. The highlight today is the 2^nd quarter advance GDP release due at 12:30 GMT. Versus the Canadian dollar (CAD), the US dollar dropped to 1.0100 from 1.0158.

The euro (EUR) recorded gains against most of its major counterparts as comments by the European Central Bank (ECB) President Draghi boosted the single currency. He was particularly firm, saying that the single currency is irreversible and that the ECB will do whatever it takes to preserve the euro. This comes one day after European Central Bank (ECB) member Nowotny, shared his insight that there are arguments in favor of giving the European Stability Mechanism (ESM) a banking license. Versus the US dollar (USD), the single currency rose to 1.2277 from 1.2137.

The Australian dollar (AUD) advanced to 1.0392 and advanced to 1.0301 versus the US dollar. The British pound (GBP) soared up a staggering 200-pips, from 1.5482 to 1.5682 against the greenback, as the pair recovers after the lower than expected a 2^nd quarter GDP figure.

Oil prices rose to 88.82 from 88.41 dollars a barrel. Gold (XAU) jumped to 1613.09 from 1602.75 US dollars an ounce. Against the euro, gold dropped to 1315.55 from 1319.59 euro an ounce. Silver (XAG) moved up to 27.4231 from 27.3025 dollars an ounce. Stay in tune throughout the day with foreign exchange bullets!