At around 9:00 p.m. the euro gained 0.19% against the greenback at 1.0798 dollars. It fell to 1.0727 dollars at the start of the session.
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The euro rallied slightly against the dollar late in the session on Friday after falling to its lowest level in a month after a European summit without major breakthroughs.
Around 7:00 p.m. GMT (9:00 p.m. in Paris), the euro gained 0.19% against the greenback, at 1.0798 dollars. It fell to 1.0727 dollars at the start of the session, a level seen more since April 24.
“This evolution seems more to reflect a movement of consolidation of the dollar which was quite bad lately,” underlines Erik Nelson of Wells Fargo. “The greenback is currently trapped between massive injections of liquidity from the Fed, the Central Bank of the United States, and a sharp slowdown in economic activity around the world that is generating a rush for the American currency.”
But the euro’s rebound remains fragile after a meeting with little progress from European leaders on Thursday.
Once again, they hardly convinced the market of their capacity to stem the crisis, asking the European Commission to formulate stimulus proposals from mid-May, after a meeting of more than four hours in videoconference.
“The summit did not allow agreement on the crucial aspects of the fund (decided several weeks ago) – its size, its mode of financing or its distribution by loans or grants” remain to be defined, explains Derek Halpenny, analyst for MUFG, for whom “the lack of immediate progress is negative”, especially for the European currency.
“There is no consensus today” on the solutions to the most serious economic crisis since 1945, recognized French President Emmanuel Macron. Italian Prime Minister Giuseppe Conte, however, spoke of an “important step”.
“Next week, everything will revolve around central banks,” with a meeting on Monday of the Bank of Japan, Wednesday of the Fed and Thursday of the European Central Bank, said Nelson.
The latter “is the one that may be the most surprising, even if ECB officials may opt for the status quo since the bond markets of the peripheral eurozone countries are relatively calm at present,” he adds. -he.
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