The Euro tested below 1.39 while the British Pound sank to as low as 1.6063 in overnight trading as stocks fell for the sixth consecutive day on Asian exchanges, offering support to the safety-linked US Dollar.
Over the past month, volatile risk fluctuations have settled and put the focus back on the theme of the US dollar against all its major counterparts. This is largely a reflection of the importance of growth (as the US is the largest economy in the world and is therefore expected to pace a recovery) and the greenback’s position as the world’s reserve currency. The following is our monthly correlations update for July.? As we have stated time and again, correlations between different currency pairs will inevitably shift over time
Recent economic data and equity prices led the Reserve Bank of Australia to believe that “maintaining the current stance of monetary policy for the time…
