REVIEW: 8 September 2008 A runaway USD dominated the trends in the forex today including a major retracement across the commodity currencies from an oil price whipsaw. Traders seemed to respond positively to the acquisition of two large mortgage industry players in the US by the government some key risk indicators were showing conflicting signals. In the near term, the existing trend still looks like it should be traded by well diversified investors. This is particularly true of the JPY crosses, which are likely to be very sensitive to changes in the global equity markets. PREVIEW: 9 September 2008 The Australian retail sales numbers are still due and may serve as a catalyst for more declines in the short term. Retail sales are a good measure of general economic strength and considering the trend of those announcements recently in Australia the currency could continue to be in trouble. Pending home sales in the US are also due tomorrow. This is important because the last report was such a positive surprise, which was very great for the greenback. Another positive surprise could rocket the USD even further, which is probably a good thing for short positions against the commodity currencies. To see the video update, click here: http://www.pfxglobal.com/pfx-forex-blog/pfx-commodities-and-crosses-outlook-9-september-2008.html