Around 9:00 p.m. the euro gained 0.63% against the greenback at 1.1240 dollars, its highest since mid-March.
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The euro touched a two and a half month high against the dollar on Wednesday, driven by optimism that dominates the market.
Around 7:00 p.m. GMT (9:00 p.m. in Paris), the euro gained 0.63% against the greenback, at 1.1240 dollars, its highest since mid-March.
“The prospect of a more robust recovery in Europe, with a Covid-19 under control and more economic support in the works, helped the euro to climb higher,” said Derek Halpenny, analyst for MUFG.
Italy has reopened its borders to tourists and Italians are allowed to move from one region to another, while in France, the café terraces reopened on Tuesday.
Since the greenback is generally considered to be a safe haven, it tends to appreciate in times of uncertainty and to depreciate when optimism prevails in the markets.
“The European Union’s stimulus fund and the prospect of an increase in the European Central Bank’s asset repurchase program” on Thursday also benefit the single currency, said Halpenny.
After a salvo of exceptional measures in March, while Europe barricaded itself to stem the health crisis, the institute was “ready” to do more, at its April meeting, in the face of this crisis ” unpublished in peacetime ”.
The time has come to act again, analysts say, for whom the most obvious way is to inflate the ECB’s Emergency Program (PEPP) in the face of the pandemic, already providing for 750 billion euros in buyouts debt by the end of the year.
The pound sterling, considered to be a currency at risk, in particular due to the painful Brexit process, also gained against the dollar.
During the session, it reached 1.2615 dollars, a high in one month.
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