The market is curiously waiting for the Fed's interest rate decision today looking for a change of their mantra of leaving the interest rates at exceptionally low levels for an extended period of time and also to know if there is another opposing voting to favor an interest rate hiking beside Hoening or not. We have seen recently improving in the US labor market and strong earning reports of the Q1 from US in the recent 2 weeks pushing its equities market up helping Dow to reach a New Year high above 11.200 but yesterday new downgrading of the Greece debt by S&P too weighed negatively on the investors' risk appetite as the market has seen in this new downgrading that the worst can still be ahead of us not behind of us with just a release of joint European rescue plan worth 30B euros on an interest rate below 5% along side the IMF more than 2 weeks ago with no even activation time of it until now. the investors are in need to have an end of this to buy again not waiting to see the results of the germane parliament voting on the Greece rescue plan and the leaders meeting for supporting Greece politically worrying about the Greek ability to finance its current debt costs in the normal crediting market in the months ahead.

The debt problems in EU and UK are still containing the market sentiment weighing negatively on the investors' risk appetite again pushing the greenback up today again with continued worries about the launch of the EU and IMF rescue plans for Greece. The single currency has been supported after the release of this 30b euros European rescue plan for Greece more than 2 weeks ago which could calm down the market but it has failed even to break above 1.37 versus the greenback to fall again below 1.325 last week after the downgrading of the Greek bond rating from A2 to A3 by Moody's which put the Greek prime one short term issuance under the review of downgrading too weighing negatively on it across the broad pushing it down versus the greenback below 1.325 before getting back up with the US equities market ability to keep its gains by the end of last week pushing the greenback down after the market worries about the Goldman sacks fraud have been put aside with the outstanding quarterly earning reports from Citigroup, Goldman sacks and apple thanks to its Iphone sales which could really contain the market sentiment encouraging the investors' risk appetite again.

The worries about U.K. public sector net borrowing has come back again after silence in February as it has recorded its highest level since recording beginning 63 years ago with a very wider than expected deficit of the Public sector net borrowing has reached 23.5b Stg in March. The governmental spending is still forced to be up and the taxes down for spurring the investment and moving the struggling economy out of the recession because of the credit crisis which could hardly get out of it in the fourth quarter of last year after being the only western European economy in recession in the Q3 at -.1% quarterly as I have mentioned after the release of the net borrowing data of the public sector of Jan that the debt is in building up stance in UK too while the European efforts are emerging for staving it off in Greece and inside the euro area with the current struggling growth rate comparing with US which can underpin the greenback this year with the market focusing on the governmental inability to meet the costs of these debts.

The changes of the Greek debt crisis are still containing the market sentiment. The single currency has been supported with the beginning of this week after the weekend release of the 30b euros European rescue plan for Greece trading above 1.365 versus the greenback before falling to 1.356 again yesterday after failing to break 1.37 on a profit taken wave across the broad after this significant rising. The rescue plan has calmed down the market which was worrying about the Greek ability to finance its debt through the IMF and the credit market by the current expensive way without European funding support.

However the single currency is still in need to get that the worst has become behind of us and not still ahead of us which is not materialized yet to the market which is still watching a very slower pace of growth in the euro area comparing with US after the credit crisis negative impact on the EU economies which pushed the governmental spending up for spurring investment and growth on the account of their budget deficits which are threating the market confidence and the recovery itself right now with market focusing on the consequences of the debt building in Europe.