The US Dollar Index remains under pressure this week after hitting two month lows after the currency gauge dropped below its 100 day moving average in trading patterns, Nomura Holdings Inc. reported, pointing to the possibility of a slide lower.<\/p>\n
Latest Dollar Index Rate<\/strong><\/p>\n The ICE US Dollar Index, which tracks the US dollar against six major world currencies was trading at 78.860 at 07.28 GMT this morning, from the session open of 87.652.<\/p>\n The index slid as much as 0.8 percent to 78.488 on Tuesday, below its 100 day moving average of 78.747.<\/p>\n “When it breaks through its 100 day moving average, it tends to continue lower. Pension funds and real money managers, who manage foreign exchange, a lot of them look at 100 day moving average.” said Kurt Magnus, executive director of currency sales in Sydney at Nomura, Japan\u2019s biggest brokerage, referring to the Dollar Index.<\/p>\n Aptly reflecting the US Dollar’s weakness is the fact that most major currencies, including the Japanese Yen, the Swiss Franc, and the Australian, New Zealand and Canadian Dollars are each approaching all time high points relative to the US Dollar.<\/p>\n The two notable exceptions to the overall weak Dollar picture have been the Euro and the UK Pound sterling, which have both declined substantially versus the US dollar in the latter part of 2011 due to the worsening European debt crisis and various sovereign debt downgrades.<\/p>\n The US Dollar has seen all time lows over the past year relative to hard currencies, such as silver and gold, making the case for continued holding of precious metals and oil prices continue to firm as the dollar remains weak.<\/p>\n<\/p>\n