Like a spaceship over a Texan farm, the Euro continues to hover close to an 11-month high against the US Dollar today. But economists are confident that movement will soon resume and, in the long term, the paring could continue to climb.
Over the past several weeks the Euro has rallied from the lows which dogged the currency through much of the second half of last year. Vastly improved optimism regarding Eurozone economic recovery and some positive data releases have allowed the shared currency to rebound against several of its main trading partners, perhaps most notably the US Dollar and British Pound.
Now strategists have commented that although the common currency could briefly stumble below the level of last year’s high, 1.34869 US Dollars, such a circumstance would likely be used by investors as a buying opportunity – which would strengthen the Euro once more.
As one FX expert with HSBC was quoted by Reuters News Agency as saying: ‘The trend in Euro/Dollar is still very much upwards, and I think the market is desperate for a pullback to get a bit more animated about a test of the topside. There has been a substantial reduction in the tail risks (surrounding the Eurozone) and the Euro has got momentum.’
However, other economists have cautioned that although additional gains may be on the horizon, achieving them may be a slow process, and one reliant on this week’s Eurozone PMI and employment figures yielding positive results.
Current Euro Exchange Rates
The Euro to Pound Sterling exchange rate is currently trading at 0.8534
The Euro to US Dollar exchange rate is currently trading at 1.3430
The Euro to Australian Dollar exchange rate is currently trading at 1.2858
The Euro to New Zealand Dollar exchange rate is currently trading at 1.6066
The Euro to Canadian Dollar exchange rate is currently trading at 1.3517
The Euro to Emirati Dirham exchange rate is currently trading at 4.9397
The Euro to Swiss Franc is currently trading at 1.2404
The Euro to Japanese Yen exchange rate is currently trading at 121.4200