Major currencies continue to fall against the U.S dollar, having investors turning to buy the low yielding dollar and yen, selling the euro and the pound. Fears still domain the currencies market resulting from the tough debts situation in the euro zone.

The economic situation in some of the European countries is worrying traders as Greece, Portugal and Spain are suffering from their heaving budget deficits, which is affecting recovery in the union.

“Over the next several months, we’ll probably have a succession of negative news associated the fiscal stress coming, first with Greece but increasingly into other sovereigns,” said Ray Farris, head of foreign-exchange strategy at Credit Suisse.

The USDIX that tracks the dollar’s performance against a basket of major currencies is inclining for the third straight day recording a high of 80.27 and a low of 79.95, while it is currently trading around 80.14.

The euro dollar pair still falling recording a low of 1.3648 and a high of 1.3745, having the union currency trading around 1.3707. The pair breached the 1.3700 levels and still more declines are expected.

Regarding the pound dollar pair, it extended declines recording a low of 1.5654 and a high of 1.5774, having the royal currency trading around 1.5725. More declines are expected to be seen today. However, the British PPI will be released today that might affect the pair.

Finally, the dollar gained slightly against the Japanese yen to record a low of 89.30 and a high of 89.76, and the pair is currently trading around 89.50. The pair dropped sharply yesterday and still further declines are expected. The dollar lost ground to trade at 89.18 Japanese yen, down from 91.01 yen on last Wednesday and the lowest since mid-December.

The yen is a frequent beneficiary of movements out of riskier assets to a more stable one. Yet, the U.S unemployment rate is on queue today and it tends to move the market on release.