News

Euro Rebounds from 1-Month Low
The euro traded at $1.185 on Friday and was set for minimal gains for the second week in a row. The common currency was supported by broad dollar weakness after data released on Thursday showed that the number of unemployed people filing new benefit claims fell less than expected last week, while nearly 30 million people were on unemployment benefits at the end of August. On Thursday, the euro hit one-month low of $1.174 after the US Federal Reserve pledged to keep interest rates on hold until at least the end of 2023, but failed to unveil more policy easing. The euro has been hovering around an over two-year high supported by a relief package agreed by EU leaders back in July.
Published on 2020-09-18

Euro Briefly Touches 1-Month Low
The euro touched $1.1737 for the first time since August 12th on Thursday, before trimming some losses to trade around $1.179, as the dollar rebounded after the US Federal Reserve pledged to keep interest rates on hold until at least the end of 2023, but failed to unveil more policy easing. The euro hit an over two-year high of $1.20 on August 31st supported by a relief package agreed by EU leaders back in July and lack of progress in negotiations over US stimulus.
Published on 2020-09-17

Euro Barely Unchanged after Fed
The euro continued to trade around $1.18 on Wednesday, remaining close to an over two-year high of $1.20 hit on August 31st, on the back of a flat dollar after the Federal Reserve signalled rates will stay near 0% for at least 3 years. Earlier, a number of ECB policymakers maintained a dovish tone on monetary policy, including the central bank's Chief Economist Philip Lane. The euro has been supported by a relief package agreed by EU leaders back in July and a lack of progress in negotiations over US stimulus.
Published on 2020-09-16

Euro Hovers Around 2-1/2-Year Highs
The euro traded around $1.18 on Wednesday, remaining close to an over two-year high of $1.20 hit on August 31st, on the back of a weaker dollar and as a number of ECB policymakers maintained a dovish tone on monetary policy, including the central bank's Chief Economist Philip Lane. At the same time, investors braced for the US Federal Reserve's policy statement later in the day, with officials expected to adopt a cautious approach ahead of November's presidential election. The euro has been supported by a relief package agreed by EU leaders back in July and a lack of progress in negotiations over US stimulus.
Published on 2020-09-16

Euro Strengthens on Tuesday
The euro traded around $1.189 on Tuesday, not far from an over two-year high of $1.20 hit on August 31st, after data showed Germany's investor morale rose to the highest level since May 2000 amid expectations of a rapid recovery of Europe's largest economy. At the same time, investors continued to digest last week's dovish tone from European Central Bank policymakers and worries about a disorderly Brexit. The euro has been supported by a relief package agreed by EU leaders back in July, while a lack of progress in negotiations over US stimulus and November's Presidential election weighed on the dollar.
Published on 2020-09-15

Euro Gains Helped by Vaccine Hopes
The euro traded around $1.188 on Monday, not far from an over two-year high of $1.20 hit on August 31st, as investors turned to riskier currencies amid renewed hopes of a coronavirus treatment after AstraZeneca said over the weekend it had resumed clinical trials of its COVID-19 vaccine. In addition, a relief package agreed by EU leaders back in July has been supporting the common currency, while a lack of progress in negotiations over US stimulus and November's Presidential election weighed on the dollar. At the same time, investors continued to digest last week's dovish tone from European Central Bank policymakers and worries about a disorderly Brexit.
Published on 2020-09-14

Euro Appreciates for 3rd Day
The Euro gained for the 3rd straight session to $1.184 on Friday, the highest on a closing basis in near a week. Investors continue to digest an upward revision to the Eurozone outlook for 2020 from the ECB and a calm approach to recent Euro strength. Policymakers said they will monitor the common currency but reinforced that the central bank does not target the exchange rate. On the week, the Euro is likely to end nearly flat.
Published on 2020-09-11

Euro Rises to 1-Week High as ECB Signals Strong Rebound
The Euro touched a one-week high of $1.1917 on Thursday, after ECB President Christine Lagarde said during a press conference that incoming information suggest a strong rebound in the economy in the third quarter of the year. The annual real GDP is now expected to shrink by 8% in 2020, a slight improvement from its June forecast of an 8.7% plunge, to then rebound by 5% in 2021 and by 3.2% in 2022. ECB President Lagarde added that they will continue to carefully assess developments, including the euro exchange rate. The ECB left its main refinancing rate unchanged at 0%, as widely expected. Policymakers also pledged to buy up to €1.35 trillion worth of debt through June 2021 under its Pandemic Emergency Purchase Programme.
Published on 2020-09-10

Euro Hovers Around $1.18 After ECB Decision
The Euro traded around $1.18 on Thursday, barely reacting to the ECB's decision to leave its main refinancing rate unchanged at 0%. Policymakers also pledged to buy up to €1.35 trillion worth of debt through June 2021 under its Pandemic Emergency Purchase Programme. On September 1st, the Euro touched $1.20, the strongest since May of 2018, amid a broad dollar weakness and increasing optimism about a fast recovery from the pandemic. However, the common currency has lost near 1.4% since then after the ECB chief economist Philip Lane said the exchange rate matters to monetary policy.
Published on 2020-09-10

Euro Strengthens Ahead of ECB
The Euro was slightly higher at $1.18 on Thursday as investors await the ECB to hint at more stimulus later in the morning when the monetary policy decision is announced. Traders also expect the central bank to comment on the recent Euro strength and its impact on inflation and economic recovery. On September 1st, the Euro touched $1.20, the strongest since May of 2018, amid a broad dollar weakness and increasing optimism about a fast recovery from the pandemic. However, the common currency has lost near 1.4% since then after the ECB chief economist Philip Lane said the exchange rate matters to monetary policy.
Published on 2020-09-10

Euro Rebounds from 1-Month Low in Afternoon Trading
The Euro rose to $1.81 during afternoon trading on Wednesday, having touched its lowest level since August 12th early in the session, as the dollar fell from a 4-week high. Investors await the ECB monetary policy decision on Thursday for further clues on when more stimulus will be added through the pandemic emergency purchase programme. Traders will also keep an eye on comments about the recent Euro strength and its impact on the Eurozone recovery. On September 1st, the Euro touched $1.20, the strongest since May of 2018, amid a broad dollar weakness and increasing optimism about a fast recovery from the pandemic. However, the common currency has lost near 2.5% since then after the ECB chief economist Philip Lane said the exchange rate matters to monetary policy.
Published on 2020-09-09

Euro Falls to 1-Month Low as Markets Await ECB
The Euro traded slightly down at $1.1753 on Wednesday, its lowest level since August 12th as investors await the ECB monetary policy decision on Thursday for further clues on when more stimulus will be added through the pandemic emergency purchase programme. Traders will also keep an eye on comments about the recent Euro strength and its impact on the Eurozone recovery. On September 1st, the Euro touched $1.20, the strongest since May of 2018, amid a broad dollar weakness and increasing optimism about a fast recovery from the pandemic. However, the common currency has lost near 2.5% since then after the ECB chief economist Philip Lane said the exchange rate matters to monetary policy.
Published on 2020-09-09

Euro Little-Changed as Markets Await ECB
The Euro was nearly flat at $1.17 on Wednesday as investors await the ECB monetary policy decision on Thursday for further clues on when more stimulus will be added through the pandemic emergency purchase programme. Traders will also keep an eye on comments about the recent Euro strength and its impact on the Eurozone recovery. On September 1st, the Euro touched $1.20, the strongest since May of 2018, amid a broad dollar weakness and increasing optimism about a fast recovery from the pandemic. However, the common currency has lost near 2.5% since then after the ECB chief economist Philip Lane said the exchange rate matters to monetary policy.
Published on 2020-09-09

Euro Falls to 2-Week Low in Afternoon Trading
The euro was below $1.18 during afternoon trading on Tuesday, its lowest level in 2-weeks ahead of the European Central Bank’s policy decision on Thursday. No major changes in the current policy stance are expected but traders will carefully monitor President Christine Lagarde’s press conference. Investors are looking to the message on inflation forecasts after the Eurozone slipped into deflation territory for the first time in four years, as well as clues on when more stimulus will be added through the pandemic emergency purchase programme. All eyes will also turn to policymakers' response to the euro’s strength, after it crossed the $1.20 mark for the first time since May 2018 supported by broad dollar weakness.
Published on 2020-09-08

Euro Flat Ahead ECB Meeting
The euro was barely unchanged at $1.18 on Tuesday, as investors cautiously await the European Central Bank’s policy decision on Thursday. No major changes in the current policy stance are expected but traders will carefully monitor President Christine Lagarde’s press conference, assessing inflation forecasts and how to tackle euro’s strength. Last week, the euro crossed the $1.20 mark for the first time since May 2018 supported by broad dollar weakness.
Published on 2020-09-08

Euro Depreciates Slightly as Investors Await ECB Meeting
The euro traded slightly down at $1.182 on Monday, as investors await the ECB monetary policy meeting decision later this week looking for further clues on the timing of additional stimulus. Traders will also monitor a new round of Brexit talks as prospects of the UK leaving the EU without an agreement has been rising in the last few days. Last week, the euro crossed the $1.20 mark for the first time since May 2018 supported by broad dollar weakness.
Published on 2020-09-07

Euro Little Changed Around 1-Week Low
The euro remained little changed for a second day at around $1.185 on Friday, close to its lowest since August 27th, amid concerns about the Eurozone's economic recovery after recent PMI data showed the Eurozone construction sector contracted for the 6th consecutive month and the most since May. Earlier in the week, retail sales across the bloc fell unexpectedly in July. At the same time, demand for the US dollar increased on upbeat data. All eyes will turn to the ECB policy meeting next week as markets still expect further stimulus before the year end after the Eurozone slipped into deflation territory for the first time in four years.
Published on 2020-09-04

Euro Depreciates for 2nd Day
The euro extended losses to trade lower at $1.183 on Thursday after crossing the $1.20 mark on Tuesday for the first time since May 2018, amid concerns about the Eurozone's economic recovery after data showed retail sales across the bloc fell unexpectedly in July. At the same time, demand for the US dollar increased on upbeat data. All eyes will turn to the ECB policy meeting next week as markets still expect further stimulus before the year end after the Eurozone slipped into deflation territory for the first time in four years.
Published on 2020-09-03

Euro Trades Below $1.19, Still Hovering Around 2-1/2-Year Highs
The euro traded lower at $1.186 on Wednesday, having touched the $1.20 mark for the first time since May 2018 the day before, as a strong manufacturing survey from the US supported dollar demand. Meanwhile, data showed Germany's retail sales fell unexpectedly in July, raising concerns about the recovery in Europe's largest economy. In addition, consumer prices in the Eurozone fell in August for the first time since May 2016 and the core inflation hit a record low. All eyes will turn to the ECB policy meeting next week and while no major moves are expected, markets still expect further stimulus before the year end.
Published on 2020-09-02

Euro Pares Gains on Weak Inflation Data
The euro touched $1.1997 for the first time since early May 2018, before cutting some of the gains after data showed the Eurozone economy fell unexpectedly into deflation territory in August as domestic demand remained subdued due to the pandemic. The euro has been supported by broad dollar weakness amid a lack of progress in US negotiations over a stimulus package and expectations that the Federal Reserve will keep rates at record lows for longer.
Published on 2020-09-01