Dollar remains strong

The US Dollar remained strong as equity markets fell across the board as people put their trust in buying the safe haven of the dollar.

US stocks gained early, but fell later. Dow Jones down about 200 points, NASDAQ down just under 3%. Data on New Home Sales was better than expected, coming in at 2.7% to 464k. Oil ended on US$63.22 at the end of New York session.

The Euro started strong against the US Dollar, but weakened as Asian stocks fell. It slightly recovered later closing above 1.25 levels. German IFO figures for October were forecast to come in at 91 but fell to 90.2 which were disappointing but not too surprising.

The Sterling again had an up and down day on the back of stocks falling everywhere. Markets however did recover slightly with the GBP/US$ heading towards 1.57 before settling 1.56. The GBP/EUR found resistance at around 0.8125 at end of play.