USD
The USD traded higher against most counterparts yesterday, except the Yen, as excitement about China's decision to relax the Yuan's pegged exchange rate subsided and as concerns regarding the stability of the Euro-Zone banking system resurfaced.
The EUR/USD pair declined by more than 150 pips after it reached $1.2466 at the start of the New York trading session. Traders moved away from riskier currencies after China cautioned they will only gradually raise the Yuan against the USD.
Looking ahead to today, traders are advised to follow the release of the Existing Home Sales report at 14:00 GMT. A better than expected result might back some optimism to the markets, supporting the EUR/USD pair slightly.
