Posted January 05, 2016
Christmas is over for another year. Now we have the last few days of trading for 2015. Will 2016 dawn in a good way for the US dollar?
The dollar started in modest fashion against the British pound. Starting with a rate of 0.6706, left over from Christmas Eve, the US dollar today edged up slightly to 0.6708. Would the dollar do well against the euro this week though? It certainly didn’t today, as the opening rate of 0.9134 dropped back to 0.9122. Over against the Swiss franc, things were also looking good for the dollar. It began the day on 0.9871 and ended it rather better off on 0.9886. Would this upward movement continue throughout the four days of trading available too?
After yesterday’s reasonable start, the dollar did really well today, improving still further to 0.6757 against the British pound. Would this be the start of a continually good week? It definitely looked good against the euro today, as the dollar rose to 0.9130 after yesterday’s loss. The day as a whole was clearly going in favor of the dollar, as the exchange rate rose to 0.9903 against the Swiss franc too. But would this be the best day of the week?
The good news stopped as far as the British pound went today. The dollar dropped to 0.6754, pushed back by a buoyant pound. Would this continue for the rest of the week? With the year fast coming to an end, the dollar had another strong showing against the euro. It managed to close out trading on 0.9152 today. Could it manage another good result for tomorrow as well? Finally, though, we had a day of bad news for the dollar versus the Swiss franc. Here, the dollar dropped back to 0.9897. At least this was a minor loss.
Finally, we come to the end of 2015. For the US dollar, the year ended on a lackluster note against the pound, as it dropped back to 0.6741. This was still higher than the opening rate on Monday though, so at least that was good news. One more piece of good news came against the euro too, as the dollar managed to do well once again, finishing the year on 0.9185. We have just one more exchange rate to report for the year, and that is 0.9952 – the rate achieved by the dollar against the Swiss franc. This meant the currency managed to increase its standing over the week as a whole.
No trading on New Year’s Day meant a long weekend on the markets. However, come Monday 4th January, we will all be looking to see how the US dollar will begin the new year. Will it start strong, just as it finished 2015 in strong form? We will have to wait and see. We’ll report on progress next week.