Posted January 07, 2014
Christmas approaches and the currency markets are faced with their last full week of trading in 2013. What will the outcome be? It’s time to find out the answers.
As the week got underway the US dollar was worth 0.6146 against the British pound. We were hoping for a good start but instead we got a closing rate of 0.6125 – disappointing to say the least. Elsewhere the US dollar started with 0.7284 against the Euro and lost ground here as well, falling to 0.7259 in the process. Finally the dollar opened on 0.8906 against the Swiss franc and fell back to a slightly weaker position on 0.8864.
After yesterday’s poor start the US dollar perked up today and managed to climb back to 0.6150 against the pound. A better result to be sure – but would it stick? There was good news against the Euro as well as the dollar gained back some ground and closed on 0.7273 today. Another good result was seen against the Swiss franc as the dollar improved to finish on 0.8877 today.
In answer to yesterday’s question, the better performance of the US dollar did not stick as far as the pound was concerned. Instead the dollar dropped lower to 0.6110 – the lowest result of the week so far. Elsewhere things stayed the same against the Euro, giving the dollar a little breathing space to consider its position. The Swiss franc was pushed back once more though, as the dollar added a little more to its position and finished on 0.8881 as a result.
Another disappointment was in store today for the dollar as the British pound continued to push. The end result was a closing rate of 0.6108 for the dollar. The story wasn’t the same against the Euro though, because the dollar improved here by climbing to 0.7316. Another improvement was noted against the Swiss franc as the US dollar finished the day on 0.8971.
We were hoping for a slight improvement today at the least, and thankfully that is what we got. The dollar managed to close things out on 0.6113 today, reclaiming at least some of its losses. There was more good news against the Euro as well, as the dollar finished the week on 0.7323 – better than its original starting rate on Monday morning had been. Finally the dollar also had more good news against the Swiss franc, rising to a closing rate of 0.8980. This was the best rate of the week, saved for last, and it makes the perfect end to our report for this week. It wasn’t a bad performance overall for the US dollar, so perhaps we can take heart from that. At a challenging time of the year the US dollar has done well on the currency markets – perhaps this also bodes well for the forthcoming New Year. We shall soon see.