After declining to a 4-month low yesterday hitting 1.5705, the Sterling has rallied during the last 24 hours to reach 1.5990 which is the Asian session high, right below psychological 1.6000 level. The sterling hit 1.6120 high on last Oct 8. The pair rallied ahead of the release of unemployment rate in England that is forecasted to reach 8.0%.

On the other hand, the Euro advanced today recording a high of 1.4899 which is a 14 month high and a low of 1.4839, trading around 1.4595. The euro zone’s industrial production will be released today that may support the euro to show further gains especially it is expected to show improvements.

Regarding the USD/JPY we find that the dollar fell against the Japanese yen before the Bank of Japan released its interest rate decision and it decided to keep interest rates at 0.10%, while it raised its assessment for the economy. The pair recorded a low of 88.82 and a high of 89.87.

GBP/JPY rally from 141.1 low on Tuesday has been capped at 143.20 resistance area and the Pound fell back to 141.75 during Asian session. On a wider perspective, the GBP/JPY has been trading in a range from 141.00 to 143.20 for the last 7 days approximately.

The Australian dollar was another standout against the Dollar, amid continued strength in energy and commodity prices, trading above US$0.9127 for its highest level since August 6, 2008.

Gold prices have reached a record high at 1070.1 a troy ounce; though more recently it was up $3.90 from New York levels at $1,068. We have yet to see any formation that suggests this up-move is about to end. Some analysts predict a move targeting $1,106. While oil prices were up 95 cents, hitting 75.14 a barrel. This price is the strongest intraday level in a year as traders cheered improved forecasts for global oil demand and as weakness in the U.S. currency turned investors’ attention to dollar-denominated commodities.

The FOMC minutes and retail sales in the U.S are on queue today and they tend to move the market on release.