Posted February 16, 2015
You can never tell where the challenges will come from when you are facing the currency markets. Check out how the US dollar performed last week as it faced up to a number of European currencies.
Well the US dollar certainly got off to a healthy start against the British pound this week. It started on 0.6528 and rose to 0.6576 by the end of the week. Could it keep this up? It had a pretty good start against the euro too, rising from 0.8735 to 0.8869 today. We saw more of the same against the Swiss franc, as the dollar began the week on 0.9202 and edged up to 0.9248 by Monday evening.
Our hopeful question of yesterday was answered in the negative today as the dollar dipped to 0.6568 against the pound. Would this be the start of a new and disappointing pattern? We saw another dip for the dollar too today, this time against the euro. It fell to 0.8851 today, making us wonder whether Monday would be the best day of the week. It looked that way so far. However the dollar did manage to buck the trend against one currency. It managed to improve for two days in a row against the Swiss franc. Today it ended up on 0.9256 as a result.
Another dip against the pound today for the dollar, this time to 0.6537. And more of the same occurred against the euro too, this time taking the dollar down to 0.8838. We were bound to see a dip against the Swiss franc eventually and today was the day when that occurred. It meant the dollar closed out on 0.9249 today.
The dollar was sliding in value now against the pound, taking things to a new low of 0.6511 today. Could it add anything back on for the last day of the week? The pattern continued against the euro too, as the dollar fell to 0.8827 with just one day of trading left to run. Better news against the Swiss franc today though, as the dollar rose to a day-ending rate of 0.9321. This was the best rate of the week so far, so could the dollar hang onto this territory for one more day to finish the week in good shape?
The US dollar couldn’t do anything to stall the losses against the pound now. Instead it dipped to close out the week on 0.6502 today. It also reached a new low against the euro, one of 0.8786, although this was still marginally above the opening rate for the week as a whole. The dollar couldn’t quite manage to hold onto the impressive rate it had achieved against the Swiss franc yesterday. However it did manage to stall the losses, dropping to 0.9292 as a result. This meant it was better off than it had been when the week began.