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HISTORICAL DETAILS
% Change
1 Wk 2.23
1 Month 2.00%
3 Months -2.14%
6 Months 5.78%
1 Year 12.11%
52 WEEK
High 1.4940
Low 1.2588
BLOOMBERG MEDIAN FORECASTS
Q2 2011 1.45
Q3 2011 1.44
Q4 2011 1.43
Q1 2012 1.42
DAILY DETAIL
The euro managed to hold on to its strong morning rally, which is likely due to the ongoing woes of the US dollar as opposed to any sudden improvement in the situation of the eurozone itself. In Washington, both sides have now produced their own plans, in a strange X-factor style competition, both evidently having decided that compromise is unlikely. President Obama went on the offensive last night against the Republicans, saying that their two-step plan was no way ‘to run the greatest country on earth’. As a result of the impasse, investors are abandoning the US dollar (and Treasuries as well), and rushing to find other places to park their money. For now, they seem to be willing to choose the euro, as the flow of news on that front has dried up for now. German consumer confidence for August, published this morning, came in slightly below expectations, at 5.6 rather than 5.7, but this has been mostly ignored in the headlong flight from the US dollar. Investors in this currency pair continue to find themselves stuck between a rock and a hard place, and it will take Solomon-like wisdom for traders to determine which of the two is the less-dangerous (rather than safer) place for their funds. Christopher Beauchamp, London
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