Despite the Rise, But Is the Euro Really In Danger? - Kakiforex.com - Financial Market Media No. 1 in the World Despite the Rise, But Is the Euro Really In Danger? Despite the Rise, But Is the Euro Really In Danger?

May 10, 2021

Despite the Rise, But Is the Euro Really In Danger?

 Most major currencies continued to trade higher as the market entered the European session, with the US dollar sinking to a 2 -and -a -half -month low.


The euro continued to strengthen by rising higher against the greenback dollar.


However, the currency is also facing pressure from the European Central Bank (ECB) which is seen taking similar steps with the US Federal Reserve (Fed) in setting monetary policy.


ECB member Olli Rehn said he wanted to implement the same loose framework as the Fed.



Meanwhile the ECB Chief Economist Philip Lane told that the central bank will evaluate its emergency bond buying program (PEPP) in June, whether they will increase or decrease it.


Meanwhile, the greenback dollar continued to receive a major blow from weaker -than -expected NFP data readings. At the time of writing, the dollar index is trading lower at 90.15 against its main competitor.


On the other hand, the Aussie dollar and kiwi remained traded higher, with support from the depreciating US dollar and rising commodity prices.


Meanwhile, the loonie dollar strengthened against the U.S. dollar despite Canadian jobs data readings last Friday, far off target with a drop of up to 207,000 jobs in April and the unemployment rate rising to 8.1%.