Euro Up For Fourth Day

Posted January 14, 2011

Euro moves up against US dollar. UK Pound up.

 

Euro

The euro improved against the US dollar during the Thursday trading session, an improvement that has allowed the euro to climb higher against the US dollar for the fourth day in a row. This came after European Central Bank  president, Jean Claude Trichet provided information indicating that the policy makers within the euro zone were ready to react to the potential rise in inflation that may occur.

The euro moved from US $1.3129 at the end of the trading session on Wednesday to US $1.3358 by the end of the trading session on Thursday, in North American trading.  The movements in the euro came right around the time that the president of the European Central Bank was making comments in regards to the consumer inflation figures. He said that the bank is “permanently alert” and that the inflationary expectations remain in the firmly anchored position for now. 

US Dollar

The US dollar fell for the four day, coming in from the improvements on sentiment for the euro but also due to the pressure on the US jobless claims report. The US dollar index moved the US dollar from 80.016 at the end of the trading session on Wednesday in North American trading to 79.16 by the end of the session on Thursday. 

One of the biggest factors that targeted the US dollar index particularly was the pressure coming from the jobless claims. A report out indicated that the US jobless claims were up for the week. These claims moved up by 35,000 in the last week, to 445,000. This is the highest increase for first time filers for jobless benefits in the last two months. This shook the market as many expected more positive results after improved numbers last week. Speculation by investors continues to focus primarily on the need for jobs in the market. Some experts believe that the continued lack of jobs continues to hurt the US economy’s ability to stabilize.

UK Pound

The UK pound moved up against the US dollar during the trading session. It moved from US 51.5602 at the end of the Wednesday trading session in North American trading to US $1.5834 by the end of the trading session on Thursday. The Bank of England left the key interest rate unchanged at its recent meeting. 

Yen

The Yen moved up against the US dollar during trading. It moved from Y 83.25 at the end of the Wednesday session to Y 82.79 for the day.

 
 

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