The Euro traded in a relatively tight range against the other G10 majors on Monday, given that the majority of this week's fundamentals are set to be published starting from Tuesday.
Friday fundamentals disappointed markets across the board, with worse-than-expected data published in Japan, Euro zone, Canada and US.
US Dollar started to appreciate strongly only on the second day after the Federal Reserve's rate decision. Yesterday it surged by 0.8% versus the common European currency, although other fundamentals have most favoured the Euro.
The Japanese Yen was hurt by a declining Japanese trade balance, which swung back into the red zone in November and sent the national currency lower. A shortfall reached 379.7 billion yen last month, following a positive exports-imports gap of 111.5 billion yen in October.
In spite of recovering oil prices, the Australian Dollar failed to show value gains versus the European common currency on Tuesday, as the EUR/AUD cross was the day's biggest gainer with a rise of 0.15%.
The Euro hovered in a mixed environment on Monday of this week, but the overall EUR Index was aggregately unchanged. Three components, which include all commodity-linked currencies, felt heavy downside pressure yesterday.
The European currency benefited from heavy losses suffered by commodity-related currencies on Friday, which were caused by the steep oil price decline. EUR/AUD skyrocketed a mere 1.7% and EUR/CAD followed with a rally of 1.4%. Also, the Euro/Kiwi cross closed the session with a surge of more than one full percentage point.
The Euro has given up some earlier gains we had observed back on Wednesday. Yesterday the 19-nation currency depreciated against all of its main counterparts, posting the sharpest drop versus the Aussie and Kiwi. Both South Pacific currencies had their own personal reasons for the appreciation.
EUR/USD advanced the most by 1.22% during the trading session on Wednesday, even despite the lack of any fundamental drivers throughout the session both from the Euro area and US. Germany's trade balance deteriorated in October, but the Euro's spike confirms that this data used to have little impact on the overall state of affairs.
The small number of important fundamentals from Europe and important data from other countries used to have an overall positive impact on the Euro in the past 24 hours. The common currency jumped by more than one full percentage point against Australian and Canadian dollars, which were hit by a continuous slump of oil prices.
While the aggregate market was little volatile on Monday, several currencies reflected important developments in other fundamental factors and managed to register much sharper daily changes.
The Euro corrected lower across the board last Friday, following major gains that the 19-nation currency had made earlier on Thursday of the previous week.
In the vast majority of all cases, yesterday the Euro had its best trading session since 2009. The single currency surged against all G10 currencies, following decisions taken by the European Central Bank. EUR/CAD and EUR/USD skyrocketed by more than 3% in the past 24 hours, as the ECB President Mario Draghi unveiled somewhat less stimulus than it was initially
The Euro traded in a mixed environment against its peers on Wednesday, while we are awaiting the European Central Bank's meeting on Thursday. EUR/GBP and EUR/NZD were the day's leaders, as they rallied by 0.7% and 0.4%, respectively.
Australian and New Zealand dollars were the best performers for the second consecutive day on Tuesday of this week. EUR/AUD slipped by 0.7% amid the Reserve Bank of Australia's decision to keep interest rates unchanged at 2.00%. The RBA previously noted that additional rate cuts are unlikely in the nearest future, and these comments strengthened the Aussie's advance versus the
The common European currency fell under heavy selling pressure on Monday of this week, as markets are setting eyes on the European Central Bank's meeting this Thursday. The regulator is expected to make several high-impact monetary policy decisions. According to the majority of economists, a further cut to the deposit rate, extension/expansion of the present QE and possibility of new
The Euro advanced in value on Friday, ignoring dovish expectations over the ECB meeting which is due to take place this Thursday. Only the EUR/USD currency pair failed to rally as it eventually dipped by 0.16% on the back of hawkish Fed expectations.
Movements of various Euro-crosses were very silent on Thursday as markets felt lack of volatility due to the Thanksgiving Holiday in the US. The EUR/USD currency pair was itself down by only 13 basis points yesterday, but there was no fundamental background for even such a small move.
The Euro was depreciating against all but one G8 currency on Wednesday on the back of expectations that the European Central Bank will expand QE programme in December. Moreover, fundamentals from other countries weighed on valuation of the 19-nation currency yesterday. Only EUR/CHF rose by 0.3% amid broad gains for the USD/CHF cross, which tried to assess the monetary policy
Australian and New Zealand dollars rallied against the Euro on Tuesday, following their substantial losses one session before. EUR/AUD and EUR/NZD were down by 0.8% and 0.5%, respectively, on the back of increasing oil prices. EUR/CAD followed with a drop of 0.4%
Concerns over global demand and rising US Dollar were negatively reflected in the pricing of commodity-linked currencies on Tuesday. EUR/AUD and EUR/NZD were the largest nominal gainers as they both added around 0.6%.
The Euro was trading down across the board on Friday, with losses ranging from 0.15% against the British Pound, up to 1.44% versus the Australian Dollar. The South Pacific currency has fully recovered on a weekly basis as risk-off sentiment faded and confidence returned to the commodity currency.
Even though the Fed has literally confirmed that interest rates are likely to start rising next month, the pace of policy normalization will be slow and gradual. These projections pushed the US Dollar, which seems to have already priced in the rate hike, down by 0.7% against the Euro.
The Euro skyrocketed the most versus the Swiss Franc on Wednesday, even though this currency pair usually is barely turbulent. EUR/CHF surged by 0.7% on the back of very disappointing ZEW economic conditions' survey for Switzerland. This indicator dropped down to zero in October from 18.3 points a month before. It proclaims that institutional investors and analysts are now neither