Sharp drop of the high-risk currencies and the increased demand for the sheltercurrencies.
US Dollar: On Tuesday we saw constant dynamics of the US dollar increase and sharp drop of
the high-yielding currencies. The concerns regarding the world economy stabilization, worsened
by the Dubai crises development, pressured the investors’ optimism and their willingness to take
risks.
Euro: The euro happened to be under pressure due to the released Euro-zone fundamentals. The
industrial production change in Germany for October demonstrated a decrease: -1.80% against
the forecast of 1.00%.
In addition, the rating agency Fitch reduced the credit rating of Greece from the "А-" level to
"BBB+", which resulted in the euro drop.
Consequently, the EUR/USD pair reached its minimum at the level of $1,4680.
British Pound: The industrial production change in Great Britain for October also showed a
decrease: factual level of 0.00% when the forecast was 0.50%. In addition to that, the
manufacturing production change demonstrated a reduction against the expectations as well.
The pound finally dropped against the US dollar after the announcement of the rating agency
Moody’s regarding the possible decrease of the current UK rating from the "ААА" level.
As a result, the GBP/USD pair dropped to the range of $1,6260.
Japanese Yen: The yen continued to demonstrate its consolidation against its major competitors,
as a shelter-currency.
The USD/JPY pair decreased to the Y88,16 mark.
Canadian Dollar: After the announcement, that the principal rate of Canada was left at the
previous level of 0,25%, the Canadian dollar dropped against the US dollar.
Oil: Due to the US dollar strengthening, the oil rate reached its minimum at the level of $72.51.