Currency comment 4/11

The U.S. dollar fell moderately on Tuesday as foreign currencies rallied.  It was normal profit taking after the recent strength in the dollar.  The biggest currency action was the Japanese yen which moved up over 100 points on aggressive speculative buying.  U.S. stocks fell while bonds saw a strong rally on “safe harbor” buying.

The real stars on Tuesday were the precious metals markets.  Speculative buying pushed gold up about $20/oz. and silver by 40 cents/oz.  Uncertainty about North Korea and Syria were the main factors in the metals’ rise.

Numerous economic reports will be released this week in the U.S.  Markets will be operating on a short trading week as trading will be closed on Good Friday.