On currency markets, the euro against the dollar development set initially strong. Thus, the European single currency climbed over the mark of 1.35 dollars. In this case, the euro rate one day and multi-month high at $ 1.3536. The dollar discounted to € 0.7387. Weak U.S. economic data and mitigate the debt crisis, the driving force behind the rapid rise in the euro compared to dollar exchange rate.
Policy makers in the EU indicate current determination and willingness to act and discuss further crisis mechanisms to the common currency area. This could at the EU summit in March 2010 decided to increase the rescue and the purchase of government bonds with financial resources of the emergency fund. In addition, interest rates for the beneficiary countries of Ireland, in conversation, and longer repayment terms for Greece.
economic data from the battered U.S. housing sector continues to be worse than forecast failed. Housing starts declined from 550,000 units to 530,000 units in December 2010. Analysts had expected a slight increase. However, it could be due to the early onset of winter weather had caused a distortion.
With the opening of the Wall Street of € its gains against the dollar increased in size has discharged. The European single currency could not hold above the mark of 1.35 dollars and fell back to 1.3465. Cautious tone of ECB officials in relation to a possible rate hike took a little development of the € thunder.
said as Governing Council member and Bundesbank chief Axel Weber that he medium term of a development of the inflation rate below two percent go out. In the last week the President of the European Central Bank (ECB), Jean Claude Trichet, indirectly threatened a rate hike because of increased inflationary pressures. ECB observers see the comments in an attempt to Weber's central bank, the expectations of a rise in the benchmark interest rate to dampen a little.
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