Dollar Falls for Second Day as U.S. Markets Not Revived by Rescue Plan

EUR/USD currency pair is growing for the second day in a row today after the Federal Reserve and the major central banks cut the interest rates to provide additional help to the tumbling markets. Fed cut the interest rate from 2% to 1.5%, Bank of England — from 5% to 4.5%, European Central Bank — from 4.25% to 3.75%, Bank of Canada — from 3% to 2.5% and Swiss National Bank — from 2.75% to 2.50%. This didn’t influence dollar much — it continued to fall despite some positive fundamentals reports from U.S. today. EUR/USD is currently trading near 1.3652 level above the opening value of 1.3621.
Pending home sales index rose by 7.4% in August after 2.7% drop in July. It’s good growth for the national realty sector because the average forecast was at 1.1% fall for August.
Crude oil inventories added 8.1 million barrels last week following 4.3 million barrels gain a week before. The last two weekly increases pushed crude oil inventories to the upper half of the average range for this time of year.

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