Yen Under Pressure While Euro Remains Resilient

  Euro gains on Dollar

  Euro hits a 2 and a half month high, while Japan's  Yen drops to its lowest point against the US  Dollar  in seven months.

  Today, the Euro rose to a 2 and a half month high  against the Dollar. The rise was as a result of  the German IFO institute's survey. The survey results  beat forecasts and raised expectations that Germany,  Europe's largest economy, would escape a recession.

  The Munich-based IFO think tank declared that its  business climate index, based on a monthly survey of  some 7,000 companies, had risen to 109.6 in February,  beating expectations of 108.8. This figure is at its  highest level since July 2011 and marks the fourth  increase in a row.   

  While the Euro had earlier started to climb on market  speculation of a strong IFO number, it jumped to  $1.3330 on release of the survey.

  The Japanese Yen dropped to a new 7-month low  against the US Dollar, while the Euro remained  strong amidst fears of slipping into recession.

  Key support levels continue to give way which in  turn encourages more Yen selling. As a result, the  Euro rose to a 3-month high against the Yen.