Posted January 04, 2017
It would not be the best of weeks for the US dollar this time around. Perhaps we could seek out the odd good result here and there to temper the bad news?
Since today was Boxing Day, the markets were closed and the week would not get underway until tomorrow.
Here we are then, with the proper start to the week. The US dollar began by trading on 0.8163 against the British pound, but this soon improved to 0.8166 by the end of the day. Could it improve still further through the next three days as well? It opened well against the euro too, rising from the starting rate of 0.957304 and finishing the day on 0.957396. Yes, we had to use extra decimal points to show the marginal increase, but at least it was headed in the right direction. Elsewhere in Europe, the dollar started on 1.0253 against the Swiss franc before rising to close out the day on 1.0295.
More good news came the way of the dollar today as it increased its standing against the British pound. It managed to rise to 0.8184, making us wonder what the final two days would have in store. We had better news against the euro too, although it was only a small rise that saw the dollar go up to 0.9614 today. More good news came against the Swiss franc as well, as the first half of the shorter week brought encouraging news for the dollar. Here, we rose to 1.0300 today.
We were approaching the end of the year now, with just two trading days left to go. The dollar didn’t make the most of today against the British pound though, falling back to 0.8160 on this occasion. Could it make up for this poor performance tomorrow? We were also given bad news against the euro, as the European currency got the better of the dollar and resulted in a day-end performance of 0.9566. We had more of the same bad news against the Swiss franc as well, with the US dollar dropping back to 1.0249 today. What would the final day of the week (and of the trading year) have to share tomorrow?
The dollar dropped once more against the pound today, taking it down to 0.8122 and leaving it open to speculation whether this was a sign of bad things to come for 2017. We also finished on a disappointing note against the euro, with the dollar falling to 0.9486 today – the lowest rate for the week. The same story played out against the Swiss franc as well today, as the dollar went down to a closing rate of just 1.0187. This was much lower than we had started with, and meant we had an air of uncertainty to consider over the weekend, as 2016 gave way to 2017.