Posted June 22, 2011
US dollar and euro battle on risk. Investors eye Greece.
During the Monday currency trading session, the euro managed to improve after losses and moved higher against the US dollar. Standards & Poor cut the sovereign debt rating for Greece, pushing investors to some level of concern. This was not a surprise to investors and it does not change any factors affecting the euro, experts say. The euro moved from US $1.4382 on Friday at the close of the New York trading session to US $1.4354 for the day. The US dollar index moved the currency to 74.801 by the end of the session, which was compared to 74.651 earlier in the day. It did move as low as 74.501 during the session. The UK pound moved from US $1.6242 on Friday to US $1.6371 for the day. The Japanese yen moved from Y 80.35 at the close of business Friday to Y80.20.
During the Tuesday session, the euro continued its march up in value as the US dollar fell against most major currencies. This came after two reports out of the US regarding economic factors helped to boost the equities markets, all showing that the US economy is not falling back into a recession. Strong economic data from China and the tightening of monetary policy in China also helped to give investors a boost towards risk. The US dollar index moved to 74.354 during the day's session. Also notable was the move of the Australian dollar which moved up from US $1.0618 on Monday to US $1.0694. The UK pound moved to US $1.6387 for the day. The Japanese yen moved to Y 80.49 by the close of business on Monday as well.
The Wednesday trading session showed improvement of the US dollar. It improved by as much as two percent against the euro. This came after concerns about how European officials were going to improve the situation in Greece surfaced. This pushed the euro to the lowest level it has been at in over a month. The prime minister of Greece said he would create a new government, which will likely cause even more hardship for the country as it tries to gain help from international sources. The euro moved to US $1.4162 during the day. The US dollar index moved to 75.630 for the day. The UK pound moved to US $1.6174 by the end of the session. The Japanese yen moved to Y 80.95 while the Australian dollar moved to US $1.0546.
The euro continued to struggle at the start of the Thursday trading session. It moved to a three week low during the session, though it managed to improve over the course of the day. This came after officials showed confidence that Greece will get the funding it needs soon to overcome its concerns. The euro moved to US $1.4197 while the US dollar index moved to 75.476 for the day. The US dollar moved to Y 80.58. The UK pound moved to US $1.6152.
The US dollar fell on Friday against the euro. Investors were less worried as the political leaders throughout the European Union appeared to be more likely to help Greece get its footing back. There are signs that there will be improvement. The euro moved to US $1.4290 for the day. The US dollar index moved to 75.092. The US dollar moved to Y 80.08 for the day. The UK pound moved to US $1.6169 for the day. The euro improved by 0.5 percent against the Swiss currency as well, and up 0.1 percent against the yen.