- US Dollar Euro (USDEUR) exchange rate currently trading at: 1 USD = 0.7310 EUR (+0.00520, +0.716%)
It was a good month for the euro as it gained over a cent against the dollar to reach a seven-month plateau near $1.38. The dollar, however, remained under heavy selling pressure against other currencies on Friday as concerns loomed that the United States may have to pump up its ailing economy with more cash.
US Dollar Euro (USDEUR) Exchange Rate
On these fears, the greenback dropped to its lowest level since March against the euro and was also off against the yen after data was released showing the US manufacturing activity expanded at the slowest pace in 10 months, shrinking demand for US assets and offsetting a rise in consumer sentiment. Still, the US data we’re seeing so far is not consistent with a double dip recession. Though it is disappointing data, it can’t extinguish the light at the end of the economic tunnel.
Today’s other Forex news:
British Pound US Dollar (GBPUSD)
The pound rose against a broadly weaker US dollar on Friday, gaining over a cent to bring the price back above $1.58, though the upcoming Bank of England meeting on Thursday could halt the pound’s gains. The greenback remained in a lose-lose situation on Friday with investors still selling the currency ahead of feared monetary easing. Manufacturing data from the Institute for Supply Management agreed with the Federal Reserve’s forecast of modest growth for the US, but that wasn’t enough to sway investors.
British Pound Euro (GBPEUR)
The pound ended the week without much of a bang, edging lower once again against the euro as disappointing data came in that reinforced fears that Britain’s recovery is faltering. Indeed, data on Friday showed Britain’s manufacturing activity weakened more than expected in September, growing at the slowest rate in 10 months on low demand for exports. The pound closed out the week at a fresh four-week low, trading below 1.15 and the price is holding steady at that level this morning.
We will continue to monitor the US Dollar Euro (USDEUR) exchange rate throughout the day.