Posted March 04, 2014
You can never quite tell how the currency markets are going to perform from one week to the next (or even one day to the next come to that). This was proven by the events that occurred this week.
As the week got underway the dollar stood at 0.6076 against the British pound. Today would be a good day though, because by the time it was over it had increased to 0.6118. It was a good day against the Euro too, as the dollar rose from 0.7398 to 0.7408. The US dollar started on 0.9041 against another European currency – the Swiss franc – and actually improved a little here, rising to finish on 0.9057 for today at least.
More good news was on the way today for the dollar versus the pound. Over the course of the day the dollar managed to edge up to a closing rate of 0.6132. We thought we’d be in good company against the Euro too, but the single currency actually managed to fight back today and knocked the dollar down to 0.7397 in the process. After yesterday’s good result against the Swiss franc it would not prove to be the same today. Instead the dollar fell to 0.9035.
This was clearly turning into a great week for the US dollar. Today saw the currency rise further to 0.6144 against the British pound. Would there be more to come over the final two days of the week as well? There was another drop against the Euro: not a large one but it still saw the US dollar finishing on 0.7383 today. The dollar didn’t seem to have much in store to battle with against the Swiss franc either, because it recorded another drop there today, falling to 0.9024 as a result.
Finally we saw a slight dip against the pound today, as the dollar slid a little to 0.6141. In contrast we had a much better start against the Euro, rising to close on 0.7410 in the process. The same pattern could be seen against the Swiss franc, where the dollar finally managed a better performance. It wasn’t incredibly good but it did give us a result of 0.9058 today.
It looked as though the dollar was struggling to keep up with the grand performance it had managed earlier in the week. Today saw the currency fall further to finish the week on 0.6124. We’d been up and down against the Euro but today turned out to be a poor result to close on – 0.7367 to be exact. The same was true of the dollar against the Swiss franc, as the closing rate for today turned out to be 0.9015. It had been a dramatic week all in all and the dollar hadn’t exactly achieved the best selection of rates all told. Maybe it will get better over the weeks to come.