US Dollar under preassure

Today the euro got more expensive against the yen and dollar, after growth of Asian and European markets encouraged investors to increase purchases of highly profitable assets. The Euro currency increased its price by 1.10 percent to 1.2865 dollars, with 1.76 percent to 127.5500 yen and by 0.10 percent to 0.7930 pounds at the end of the morning session of the European markets. The US Dollar decreased its price for the first time in three days against the euro because of speculation that slowing growth in the U.S. economy will increase pressure on the Fed for further reduction in interest rates. Speculation that during this week will be reduced interest rates in the euro, UK and Australia also support the European currency because it is expected that by stabilizing capital markets repatriation of dollars and yen will decline. The appreciation of European currencies will likely be limited by data out today on industrial activity and construction costs in the U.S..

Labels: Financial News