The euro continued to climb higher against the dollar today, ahead of the European Central Bank’s decision about interest rates tomorrow. It is widely expected that the ECB will raise interest rates, the first time since June 2007.

The dollar had seen a brief boost on Tuesday after better than expected ISM manufacturing data was released, but this was short lived as traders remain unconvinced that the US economy has turned a corner.

The IATA (International Air Transport Association) announced what airlines will make lower profits in 2008 than they did in 2007.

The body which is a representative of 260 airlines kept the 5.6 billion usd 2007 forecast, this it considers will be at the top of the profits and traffic since the year 2000.

The forecast for 2008 was 5 billion usd compared to the previously thought 7.8 billion.

Copper has now risen above the 8,000 USD a tonne price, stocks are falling and some supply problems in the American region has caused speculative buying. This has occurred with the weak dollar price.

The dollar has fallen to a new low against the Euro, following pressure from the 50 percent cut in rates by the US Federal Reserve who are trying to make the US economy more stable.

The weaker the dollar the cheaper the prices of metal such as copper, which is priced in dollars.

Stocks unwind across the board yesterday as Dow drops more then a 100 points sending carry trades on a corrective path. Watch the 1500 level in S&P post US data.#

USD stronger across the board yesterday, with no follow thorugh on the fixed income side. Today's US PPI and Retail Sales could very likely bring the inflation fear out in the open bring more USd strength across the board. Especially Cable looks vulnerable to the downside.