Euro is rallying after some earlier weakness as positive sentiment returns to the Forex market. Hopes for ECB/IMF money, as well as good news out of the US, are helping the 17-nation currency.
Earlier, the euro weakened as sentiment turned a little negative. US dollar made some gains, but those are being erased as the euro rallies on the latest round of news. There are rumors that the ECB will lend money to embattled eurozone countries via the IMF. This news is prompting hopes that eurozone countries will be able to get themselves out of the current mess.
On top of that, Forex traders are responding favorably to the latest economic news out of the US. November nonfarm payrolls show that the 120,000 jobs were added to the economy in November. Between this uptick in jobs, and evidence that US consumers are ready to spend this holiday season, it appears that America’s economy is slowly recovering.
This news is prompting some risk appetite, and encouraging the euro to head higher in Forex trading. How long the current sentiment will last is up for debate, but, for now, the euro is doing well enough.
At 15:08 GMT EUR/USD is higher at 1.3474, up from the open at 1.3462. EUR/GBP is up to 0.8599 from the open at 0.8580. EUR/JPY is higher at 104.9885, up from the open at 104.6050.
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