Treasury - Daily Forex for day 25.04.2006

The U.S. dollar slipped to fresh seven-month lows against the euro on Monday after the meetings of the Group of Seven nations and the International Monetary Fund over the weekend pointed to a huge U.S. trade deficit and its unsustainability in the future. In addition, finance ministers urged China to let its yuan appreciate to smooth global imbalances, triggering a fall of the dollar against the yen. Speculations that more and more central banks are shifting their reserves from the dollar into the euro are also weighing on the dollar these days.

The crown held almost flat near its seven-week highs against the euro on Monday, drawing support from positive sentiment in central European markets.