The Euro’s recent gains are signalling investors are confident that ECB President Mario Draghi and government officials are doing enough to hold the euro region together. The single currency is confounding all its critics again breaking over $1.34 level and now stands at 10 percent above its lifetime average of $1.2141. The currency also is 7.2 percent too strong versus the dollar, based on an index by the Organization for Economic Cooperation and Development in Paris that uses relative cost of goods and services. While Draghi cut the euro regions main interest rate in May to a record 0.5 percent and said policy makers were considering a negative deposit rate, the bond- buying program the central bank unveiled I 2012 is yet to be activated. European banks have paid back about 300 billion euros ($402 billion) of the 1 trillion euros of three-year loans granted under its Long Term Refinancing Operations (LTRO) in 2011, leaving the Frankfurt’s-based ECB’s balance sheet 18 percent smaller than at its peak in June 2012.
The Canadian dollar declined for a third day versus the dollar as the Federal Reserve starts a two-day meeting that may provide information about when the central bank will start to reduce bond purchases.
Today's Opening Rates (Mid-Rate) (as at 08:30 E.D.T.)
| EUR/USD | 1.3396 | NZD/USD | .8004 | USD/JPY | 95.09 | EUR/GBP | .8555 |
| GBP/USD | 1.5657 | USD/PLN | 3.1787 | USD/CHF | .9199 | USD/MXN | 12.8333 |
| USD/CAD | 1.0200 | USD/DKK | 5.5673 | AUD/USD | .9501 | USD/SEK | 6.3973 |
Equity Indices (as at 08:30 E.D.T.)
| I n d i c e s | Dow | 15,318 | FTSE | 6,346 | ISEQ |
| 3,951 | Nikkei | 13,245 | Nasdaq | 3,482 | undefined |
Indicative Opening Deposit Rates
| Time Period |
$ Deposit |
Euro Deposit |
| 1 week |
0.60 |
.95 |
| 2 week |
0.70 |
1.00 |
| 3 week |
0.70 |
1.02 |
| 1 month |
0.75 |
1.10 |
| 2 month |
0.80 |
1.20 |
| 3 month |
0.85 |
1.30 |
| 6 month |
1.25 |
1.45 |
| 9 month |
1.40 |
1.55 |
| 12 month |
1.50 |
1.70 |
This week we will feature
• Economic Indicators
• Euro Land
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