Posted April 18, 2017
It may only seem like five minutes since Christmas, but Easter has arrived, and with it comes a shorter trading week for the major currencies.
As the week got underway, the US dollar stood at 0.8050 against the British pound. This soon improved to 0.8067 today, giving us hope this would be a strong week for the US dollar. We had similarly good news against the euro, when the dollar began on 0.9407 and rose to 0.9453 by the day’s end. Would this be the first of several days’ worth of good news? The pattern continued as the dollar rose from its opening rate of 1.0061 against the Swiss franc to finish on 1.0098 today.
After the good start we had yesterday, the dollar did not enjoy such good news today. Instead, it dipped against the British currency, sending it back to 0.8037 in the process. Were we now on a slippery slope to the end of the week? Yesterday, we speculated about good news against the euro, but we did not get that today. Instead, the dollar fell to 0.9419 against the European single currency. Another drop came against the Swiss franc, too, taking the dollar back to 1.0075.
More bad news came the way of the US dollar today, as it fell further against the British pound, going down to 0.8000 as it did so. Would it go below that level again tomorrow, or could it claw back some of its mild losses? So far, we have seen similar results against several currencies on the same day. However, today, the dollar rose against the euro, if only by a slight amount, to 0.9429. Would this continue tomorrow as well? We also had another fall against the Swiss franc, as the US dollar slid further to 1.0068 by the day’s end. With just one more day left to trade in this shortened week, what would happen tomorrow?
We soon got the answer to the question we posed yesterday, as the dollar did experience another fall, slipping to 0.7973 against the pound to finish the week. The dollar also fell against the euro, reaching the lowest point of the week as it did so, on 0.9407. And we had further bad news against the Swiss franc, where the dollar slid to 1.0052 today – also the lowest rate of the week in this part of Europe. It had not been the best week for the American currency.
As today was Good Friday, the currency markets were closed, so we would have to wait longer to find out the next chapter in the story of the US dollar and its position against other world currencies. With Easter Monday starting next week, we have yet another four-day week coming up, too. So, will this mean the US dollar has an equally-bad week next week?