Euro in the Spotlight as Debt Concerns Play Centerstage

Posted September 20, 2011

Euro improves during week. Euro zone debt main focus.

 

 

Monday, Sept 12

To start the week, the euro pared its losses against the greenback and improved from a decade low level against the yen. This came as traders looked at and tried to digest the information provided to the public about the Greek debt concerns. Still, the euro remains under heavy pressure as the downgrade of French banks weighed in. In addition, Germany's aid to Greece worried investors. The euro moved to trade at Y 105.06, which is a drop of .5 percent from the Friday session. It managed to hit a low of Y 103.88 during the trading session. The euro moved to trade at US $1.3586 by the end of the Monday trading session. It closed at US $1.3659 at the end of the Friday session. The US Dollar Index moved to trade at 77.543 by the end of the Monday session from 77.175 on Friday.

Tuesday, Sept 13

The US dollar fell on Tuesday against the euro. This happened as US stocked managed to gain during the day. That helped to indicate that some traders were at least less worrisome about European debt. By the end of the day, the US Dollar Index had moved to 76.925 in North American trading. The euro managed to move to US $1.3705 by the end of the session. The euro moved to trade at Y 105.32 against the Japanese currency. The US dollar moved to buy Y 76.88. The UK pound moved to trade at US $1.5799 which is off from Monday's US $1.5816.

Wednesday, September 14

The Wednesday trading session saw the US dollar fall significantly against the euro. This came after reports from Greece, Germany and France all indicated that Greece will remain a part of the euro zone. This helped to improve investor's concerns regarding the European Union's debt concerns. During the day, the US Dollar Index moved the currency to 76.825 by the end of the session in North America. In addition, the euro moved to trade at US $1.3756 for the day. The US dollar moved to trade at Y 76.67 for the day as well. The UK pound moved to trade at US $1.5777.

Thursday, September 15

The Thursday session saw the euro continue to rise after the European Central Bank indicated it would offer longer term dollar loans. These would be extended to European banks with the goal to help relieve some of the stress these banks are facing in the euro zone. These loans should provide enough protection to cover the financial institutions through the end of the year, the European After the news, the euro moved to trade at US $1.3887, but managed to go as high as US $1.39 during the session. The US dollar index moved the US dollar to trade at 76.259 for the day. The UK pound moved to trade at US $1.5808 for the day. The Japanese yen moved to trade at Y 76.67 for the day.

Friday, September 16

The Friday trading session pushes back on the euro as fear grows again in the euro zone. The US dollar improves as news lead to investors becoming worried about the Greek aid packages available. The US dollar index moved the currency to 76.614 in North American trading. The euro moved to US $1.3793 for the day. There is concern that Greece will not get the aid it needs due to new government actions in Germany. The UK pound moved to trade US $1.5790 while the US dollar bought Y 76.88.

 

 

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