The U.S. Dollar is trading mixed against the major currencies ahead of the U.S. opening. The Greenback is posting gains versus the British Pound and Japanese Yen while showing a slight loss versus the Euro and an even bigger decline against the risk-related currencies.
Higher global equity prices combined with oversold conditions are contributing to greater appetite for risk. This is helping to drive up the Australian, New Zealand and Canadian Dollars while pressuring the lower-yielding Japanese Yen.
Chairman Bernanke’s comments helped underpin the Euro for a short period of time overnight. On Monday, Bernanke said that Europe is committed to the Euro’s survival and has the funds available to help out any nation that seeks financial aid. Bernanke also said the recent Euro stabilization package was “a lot of money” but enough to protect Greece, Portugal and Spain from default for a number of years.