Wednesday, 19 June 2013 14:43
Posted by Shoaib-ur-Rehman Siddiqui
LONDON: The rise of the euro must be sending a shiver down the collective spine of euro zone policymakers as it threatens the bloc's export competitiveness just as a fragile recovery might be taking hold.Whether the euro's strengthening is a sign of actual confidence, or reflective of a wider unwinding of positions in which investors had sold the single currency against a raft of emerging market currencies, is open to debate.But the net result is a stronger euro, with the single currency firming from $1.2745 in early April to above $1.34.More strident rhetoric that could, as an indirect consequence, take some heat out of the currency's appreciation might logically be expected, even though the European Central Bank does not target a specific euro exchange rate.Indeed it may already have begun.ECB head Mario Draghi felt the need to reiterate on Tuesday that the central bank retains an open mind on whether ...
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LONDON: The rise of the euro must be sending a shiver down the collective spine of euro zone policymakers as it threatens the bloc's export competitiveness just as a fragile recovery might be taking hold.Whether the euro's strengthening is a sign of actual confidence, or reflective of a wider unwinding of positions in which investors had sold the single currency against a raft of emerging market currencies, is open to debate.But the net result is a stronger euro, with the single currency firming from $1.2745 in early April to above $1.34.More strident rhetoric that could, as an indirect consequence, take some heat out of the currency's appreciation might logically be expected, even though the European Central Bank does not target a specific euro exchange rate.Indeed it may already have begun.ECB head Mario Draghi felt the need to reiterate on Tuesday that the central bank retains an open mind on whether ...
ISTANBUL: The Turkish lira firmed on Wednesday after the central bank skipped a repo auction to combat currency pressure brought on by concerns about domestic unrest and uncertainty over the US asset purchase programme.Turkish assets have been volatile since the end of May when anti-government protests flared up, unnerving investors already worried by an expected slowdown in the flow of cheap money from major economies including the United States.The lira strengthened to 1.8785 against the ...
LONDON: The dollar was broadly steady in subdued trading on Wednesday as markets awaited the outcome of the Federal Reserve's rate-setting meeting for clues on the future course of US monetary policy.Speculation that the central bank will start tapering its asset-buying stimulus before the end of the year triggered a recent sell-off in global stocks and also market volatility which caused the dollar to lose ground to currencies like the safe-haven Japanese yen.Analysts said the ...
LONDON: Sterling was steady on Wednesday, staying stuck below a four-month peak against the dollar before the release of Bank of England minutes and the outcome of a US Federal Reserve policy meeting.The minutes of the Bank of England's policy meeting earlier this month will be watched to see whether any of the three policymakers, including outgoing Governor Mervyn King, who previously voted for more quantitative easing, changed their mind this time.Signs that recent better ...
NEW YORK: The euro climbed to a session high against the dollar on Monday while the US currency pared gains against the yen as investors positioned ahead of the Federal Reserve's policy announcement.The euro was last up 0.2 percent at $1.3374 with a session peak of $1.3379. The dollar traded up 0.4 percent at 94.45 yen, closer to a session low of 94.08 yen than the session peak of 95.21 yen.The Fed will release its ...
NEW YORK: The US dollar climbed against the yen for the first time in five sessions on Monday, as stock markets rallied on expectations the Federal Reserve's policy announcement this week will reassure investors that monetary stimulus will remain in place.The yen weakened again though in mid-afternoon New York trade, following headlines from the Group of Eight meeting in Northern Ireland. Traders said world leaders continue to back Japan's current stimulus efforts, opening the door ...
LONDON: The yen fell against the dollar and the euro on Monday as stocks bounced, but the Japanese currency stayed near two-month highs with investors seeking clarity on the Federal Reserve's ultra-loose monetary policy.The focus is on what Chairman Ben Bernanke will say following the US central bank's meeting on Tuesday and Wednesday. Expectations the Fed will start unwinding its asset purchase programme have hit global share markets and sparked a rush to the safety ...
