EUR/USD: Increased Volatility

With many European banks closed for Easter holidays, the Dollar fell under some heavy pressure during the U.S. morning session, following the Empire Manufacturing Index for April, which dipped to 15.8. Positive Dollar sentiment may be return, however, in light of the Treasury's TIC (capital inflows) data, which was released, showing a robust $86.9b in February; an amount sufficient to cover that months trade deficit ($65.7b). Higher U.S. bond yield are said to be creating favorable conditions for overseas investors, which is helpful to the Dollar. Read More....