Quiet Trading Election Day
On November 
4th (Election Day in the US) the US dollar was trading steady in quiet trading by Forex traders and investors. Investors and Forex traders were eagerly awaiting the results of the historic 2008 presidential elections. Despite the state of the US economy and fears of a recession the dollar has been holding steady as investors and Forex traders seek a safe haven.
Investors and Forex Traders Shifting Money to the Dollar
The Euro declined against the dollar and the yen and the European Central Bank cut rates from 3.75 to 3.25 in an attempt to help the seriously deteriorating European economy. Central banks around the globe have lowered interest rates to try to mitigate the effects of the worst economic crisis since the great depression of the 1930’
s. One anonymous Japanese trader stated; “Investors have little choice but to shift their money to the dollar as data has almost confirmed that key European economies are heading into a recession. Deep troubles in countries surrounding the euro zone are also making the euro vulnerable against the dollar.”
