• Dollar Struggles Ahead of 2Q GDP – Fed Maintains Dovish Outlook
• Euro Rallies as Economic Confidence Tops forecast, German Unemployment Declines
• British Pound Continues to Trend Higher Ahead of GfK Consumer Confidence Survey
• Australian Dollar Regains Footing as Swan Talks Down Recent Inflation Report
• Japanese Yen Rallies Extends Yesterday’s Advance On the Back of Risk Aversion
• New Zealand Dollar Pushes Lower Following Dovish Comments Subsequent to RBNZ Rate Hike

The US dollar softened against the euro and yen Thursday on concerns over the US economic outlook. Analysts are now saying that the US economy appears to be losing momentum, and this slow-down has been weighing on the American currency against its counterparts; especially the euro and British pound.

The greenback declined vs. the Majors yesterday as a weaker-than-expected reading on new orders for US durable goods contributed more fears about the general economic outlook. Adding to the recent rise in risk aversion, the Federal Reserve has said that overall US economic activity is still increasing, but not as robustly as desired.

On the other hand, there is a chance that the US dollar may advance – after sliding 6.4% against the EUR this month – if the US economy shows signs of more modest growth. Several economists do not feel that the relative underperformance of American economic data will continue, and therefore we could see flows of investment back into the US, leading to dollar-appreciation.
Weekly jobless claims will again be a big event for the markets today, and market players may see the USD pare some of its previous losses and rise above the $1.2950 level if this report can beat forecasts.

* Dollar falls versus yen after durable goods report * Euro trades above $1.3000 but again fails to hold gains By Nick Olivari NEW YORK, July 28 - The U.S. dollar rallied against the euro but slid against the yen on Wednesday as weaker-than-expected U.S. durable goods orders added to fears about economic recovery in the world's largest economy. Also driving risk aversion was a Federal Reserve ...

The Australian dollar has seen support throughout July as strong corporate earnings and fading concerns over Europe have fueled broader optimism. The AUD/USD has seen its correlation with equity markets strengthen to 86% as the high yielder continues to benefit from risk appetite.

FXstreet.com (Buenos Aires) Pound is back above 1.5400 against greenback after testing 1.5350 static support area on early US opening Wall Street's risk aversion run.