The Euro began the week trading against the British Pound in the region of 0.8490
Today the Euro is trading against the British Pound in the region of 0.8538
Here we take a brief look at what's been happening with the Euro this week, and what could cause the Euro exchange rate to rise or fall in the week ahead.
Round-up for week ending 21/06/13
Although the Euro began the week trading quite strongly against the US Dollar the common currency declined against a broadly strengthening Pound following the publication of some better than forecast UK housing data.
The Euro was little affected by a report showing that the Eurozone’s trade surplus declined in April.
Although market movement was quite subdued at the beginning the week as investors looked ahead to the Federal Reserve’s highly anticipated policy meeting, the Euro was able to climb modestly against the US Dollar and Pound on Tuesday as economic confidence surveys for the Eurozone and Germany smashed expectations.
A separate report showing a rebound in the Eurozone’s construction output allowed the Euro to extend gains on Wednesday.
However, after Federal Reserve Chairman Ben Bernanke stated that the US central bank will begin reining in its extensive levels of quantitative easing if the US economy continues to recover, the markets went into freefall and the Euro slumped against the US Dollar and Pound.
The currency declined despite Markit PMI surveys showing that the Eurozone’s manufacturing and service sectors contracted by less than anticipated.
By Friday the Euro had recovered some ground, although the US situation continues to pile pressure on the Euro and its fellow higher-risk currencies as we head into the weekend.
Riskier currencies were also adversely affected this week as Chinese manufacturing data failed to live up to expectations.
What to look out for next week:
In the week ahead the most influential pieces of economic news for the Euro include Monday’s German IFO indexes, Tuesday’s Italian retail sales figures, Wednesday’s French growth data and Thursday’s consumer confidence and business confidence figures.
Any news indicating that the US economic recovery is continuing will also be of interest.
If you have any questions regarding the Euro, or currency in general, please leave me a comment and I’ll get back to you as soon as I can!
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Current Euro Exchange rates:
The Euro is trading against the Pound in the region of 0.8538
The Euro is trading against the US Dollar in the region of 1.3224
The Euro is trading against the Australian Dollar in the region of 1.4321
The Pound is trading against the Euro in the region of 1.1715
The US Dollar is trading against the Euro in the region of 0.7560
The Australian Dollar is trading against the Euro in the region of 0.6989
These exchange rates are provided by TorFX, a leading provider of foreign exchange. TorFX offers the best possible exchange rates for all your currency needs.
These exchange rates were correct as of 12.35 am GMT on the 21/06/13