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Following the thunder resulting from the recent USD rally, Ben Bernanke, the Federal Reserve Chairman, said that the US economy is still facing a long and steep road to recovery, citing the 10% unemployment rate as the core proof.

These remarks were accompanied by a caution to the financial world that too much should not be read into the recent strong employment report, since it is possible that the rate will stay high on the near future.

This news reinforced the hopes of Forex traders, who thought a rate increase in the US was coming soon.

Bernanke wished to clarify that this is not under consideration based solely on one positive report, and that the low rates seem to be what is driving the recovery that the US appears to go through.

On Tuesday, the Dollar was mixed, floating into positive and then negative territory for several times.

At 10:45PM GMT, the US Dollar was trading up to 0.41% to the Euro to 1.4762, down 1.03% versus the Japanese Yen to 88.56, up 0.66% to the British Pound Sterling to 1.6287, up 0.45% to the Canadian Dollar to 1.0559, down 0.3% versus the Australian Dollar to 0.9088 and up 0.4% to the Swiss Franc to 1.0236.

Trading the EUR: The President of the “European Central Bank”, Jean-Claude Trichet, commented that the Eurozone was facing a “bumpy road” towards its recovery.

Considering that investors have began to feel a loosening on the ECB’s part, particularly regarding the stimulus measures of buying underperforming assets, Trichet declared that, if required, the ECB could easily halt the process of withdrawing emergency support measures for the economy.

These comments put a stop to a quiet rally in which the Euro was broadly up, and the Euro began leveling off.

At 11:00PM GMT, the Euro was trading up to 0.18% against the Pound to 0.9055, down close to 2 against the Japanese Yen to 130.42, flat with the Canadian Dollar to 1.5583, even to the Australian Dollar to 1.6247 and up .01% to the Swiss Franc to 1.5117.