How the Euro Moves in Low-Impact Trade | 06/09/20

The euro exchange rate increased on Tuesday in a trade with few impulses.

–

After losses in the morning, the common currency euro rose to $ 1.1358 in the afternoon. The European Central Bank (ECB) set the reference price at $ 1.1294 (Monday: 1.1285). The dollar thus cost 0.8854 (0.8861) euros.

There were mostly no strong impulses on Tuesday. In the morning, the euro was burdened somewhat by extremely weak economic data. German foreign trade plummeted in April due to the Corona crisis. Trade with the large European partners France and Italy declined particularly sharply. “One negative record is chasing the next,” commented VP Bank chief economist Thomas Gitzel. Most economic data had recently been disastrous due to the pandemic.

The financial markets are now looking at the American one Monetary policy. The Federal Reserve Council met on Tuesday to discuss its future direction. The Fed has eased its monetary policy extremely in the Corona crisis. The key interest rate is not only at the zero line. It has also expanded its balance sheet on asset purchases more than ever before. There are also a dozen or so loan programs for consumers, businesses and municipalities. Most experts do not expect any major changes for Wednesday evening, when the Fed announces its decisions.

For other major currencies, the ECB set the reference rates for one euro at £ 0.89120 (0.89173) pounds sterling, 122.14 (123.41) Japanese yen and 1.0770 (1.0861) Swiss francs. The troy ounce gold (31.1 grams) was trading in London in the afternoon at $ 1718. That was about $ 20 more than the previous day./bgf/jsl/he

FRANKFURT (dpa-AFX)

–