The Euro to US Dollar (EUR/USD) exchange rate has fallen today for the third day running although relatively speaking, the common currency’s (EUR) losses have been lessened today.
Anything Definite from Fed Symposium Likely to have Major Impact on EUR/USD Faring
The Euro (EUR) has fallen by -0.5% against the US Dollar (EUR/USD) today and this downtrend seems set to continue into the weekend. Most immediately, the US Q2 GDP figures are due today, and any increase above forecast will lend no small amount of confidence to the ‘Greenback’ (USD).
Looking further ahead, the Jackson Hole Symposium being held tomorrow by and for Federal Reserve officials will be closely watched by speculators, as the Symposium has become renowned as an influential factor on the performance of the ‘Greenback’.
Earlier…
A tumultuous third day of stock market unrest has seen a repeat performance of yesterday’s Euro to US Dollar (EUR/USD) exchange rate – the Euro (EUR) bombed while the ‘Greenback’ (USD) saw a return to order.
EUR/USD Exchange Rate News: Common Currency continues to Crash as Stock Market Madness Drags On
The Euro (EUR) has echoed yesterday’s decline with a majority downtrend today. This included falls of over -0.8% against the Australian Dollar (EUR/AUD), the Canadian Dollar (EUR/CAD), the New Zealand Dollar (EUR/NZD), the US Dollar (EUR/USD) and the South African Rand (EUR/ZAR). The single currency has only seen one gain today: a small 0.2% rise against the Polish Zloty (EUR/PLN).
These disappointing results indicate that while lessened, the impact of the stock market chaos is still prevalent among the world’s currencies. The Euro’s losses to the commodity currencies today are clear evidence of this; the price of crude oil, gold, platinum and milk has dived since Monday, yet the currencies that rely on high prices for their own value have paradoxically turned bullish against their rivals.
US Dollar Conversion Rate Reacts to Higher-than-Predicted Confidence Levels
The US Dollar to Euro (USD/EUR) exchange rate has risen by 0.8% today, but like the common currency (EUR), the ‘Buck’ (USD) has fared poorly against the world’s commodity currencies. This included losses of over -0.5% against the Australian Dollar (USD/AUD), the Canadian Dollar (USD/CAD) and the New Zealand Dollar (USD/NZD). The ‘Greenback’ also fell by -0.2% against the South African Rand (USD/ZAR).
USD rises were more significant with advances of over 0.8% being recorded against the Japanese Yen (USD/JPY), the Polish Zloty (USD/PLN) and the Norwegian Krone (USD/NOK).
The US Dollar’s gains today come from a rise of 90.9 points up to 101.5 in the US Consumer Confidence score for August being recorded yesterday, although given how badly the US Dollar has done against commodity currencies since ‘Black Monday’ that by all rights should be stricken, ‘business as usual’ can hardly be used to describe the situation.
EUR/USD Exchange Rate Forecast: ECB’s Praet may Hold Keys to Euro Uptrend Today
The only major Eurozone event today is a speech by European Central Bank (ECB) Executive Board member Peter Praet. The subject is ‘The Euro crisis and the role of different economic traditions’, and any optimistic forecasts by Praet may go some way to restoring confidence in the floundering Euro (EUR).
For the US Dollar (USD), however, the US Durable Goods Orders figure for July is due out, and if this bucks the pessimistic predictions for the result along with a show of confidence from Federal Reserve Bank of New York President William Dudley’s planned speech, the ‘Greenback’ is likely to hold its gains at the very least.
Current EUR, USD Exchange Rates
The Euro to US Dollar (EUR/USD) exchange rate was trending in the region of 1.1457 and the US Dollar to Euro (USD/EUR) exchange rate was trending in the region of 0.8730 today.
