This is the Movement of the European Currency Amid the Gloom of the USD - Kakiforex.com - Financial Market Media No. 1 in the World This is the Movement of the European Currency Amid the Gloom of the USD This is the Movement of the European Currency Amid the Gloom of the USD
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September 7, 2021

This is the Movement of the European Currency Amid the Gloom of the USD

 The start of European session trading saw the US dollar struggling to find support to rise higher against most major currencies.


Rising 10 -year U.S. treasury yields have helped the greenback dollar to post slightly higher, but still not strong enough to drive higher gains.


Against the six major currencies, the dollar index that measures the strength of the greenback dollar traded little changed at 92.22.


The euro remained stable around the 1.18700 price level, with price movements slightly affected by the less encouraging reading of the German economic sentiment data of the ZEW survey.



The German economic sentiment index slipped lower than expected to 26.5 in September, compared to the projection to rise 30.2, and fell from the previous reading at 40.4.


Meanwhile, the pound depreciated, failing to capitalize on the hawkish remarks by Bank of England (BOE) policymaker Michael Saunders who said the central bank would need to raise interest rates next year if growth continues and inflation picks up.


The protracted dispute over Northern Ireland’s protocol, however, appears to have depressed pound trading. In the latest development, the UK has extended a ‘grace period’ for the implementation of inspections at the Northern Ireland border to give Britain and the European Union (EU) more space to discuss the protocol.


However, the EU firmly reiterated its stance of refusing to renegotiate.