From our forex trading education blog
�Although some analysts speculate that ECB might cut its Interest Rate today, the chances that the ECB reduction will indeed take place are quite small.
�If the ECB cuts its Interest Rates, the immediate reaction for such announcements is usually a massive depreciation of the EUR.
�However, overall impact of the Interest Rate reduction may in fact strengthen the European currency in the longer run.
�Traders should focus their attention on this release, as it is expected to be the highlight of the week for European markets.
12:00 GMT - U.S Unemployment Claims
�This indicator reflects the number of individuals who filed for unemployment insurance for the first time during the past week.
�This release is expected to print better results than the previous one, meaning the USD could continue to show further bullishness during the day.
�On the other hand, if the results turn out to be lower than the forecast, the Dollar may in fact record a fairly bearish session in today�s trading.
�Crude Oil dropped yesterday by 3.5% to $66.12 per barrel, pulling back after the US government data showed an unexpected increase in Crude Oil Inventories last week.
�Overall, in recent weeks Oil has surged primarily on weakening USD and not on actual demand.