The U.S. dollar continues to witness sell-off against major currencies though the intensity of such weakness is capped due to month-end rebalancing flows. EUR/USD was seen trading 0.26% higher at 1.1366.
Apart from this, the British Pound reclaimed its footing against the greenback today after data indicated that the U.K. economic growth paced up in the last quarter of 2015. However, higher current account deficit prevented the Sterling from booking larger gains. The currency was trading 0.05% higher at 1.4385 against the dollar. The greenback remained weaker against the yen with former slipping 0.04% to 112.37.
Oil glut concerns awakens
Meanwhile, the world markets ended the roller-coaster quarter on a mixed note with most of the Asian indices closing broadly lower. The market euphoria stemmed after Yellen comments appeared to be easing down. Among Asian indices, Shanghai SE Composite Index managed to close marginally higher by 0.11% to 3,003,92 even as China received a downgrade warning by S&P. Nikkei 225 extended losses on account of strengthening of the yen.
In Europe, the markets opened on a weak note responding to a new report that said that inflation barely improved in the euro zone despite the Central Bank’s stimulus measures. Over and above this, a renewed pressure on oil prices is also dragging the markets down. Oil prices continued to fell further today with Brent Crude shedding 0.66% to $39 and West Texas Intermediate slipping to $37.81, down by 1.33%.
An official report from the Energy Information Administration (EIA) stating that the U.S. crude reserves increased 2.3 million barrels to 534.8 million barrels during last week displaced the bullish outlook. Such rise in the U.S. inventories came even when the refinery utilisation has surged to an 11-year high, which pushed analysts to predict further downfall in the commodity prices.
iPath S&P GSCI Crude Oil Total Return (NYSEARCA:OIL) had shed 0.97% to $5.12 during the previous session.