Currency exchange rates today: euro to dollar and yen to swiss franc

Currency exchange rates today: euro falls rapidly

In brief: Currency exchange rates today - it is uncertainty in a natural way, stimulating the desire of investors to avoid risk, which adversely affects the positions of the European currency

At the auction on Tuesday the yen against the European currency rose to new 8-year high on fears that slowing economic growth in China will have a negative impact on the restoration of the entire world economy. Another factor that provoked the pressure on the euro, were fears that European banks have received from the central bank’s refinance loans at higher rates.

In general, the mood of investors on Tuesday remained in line with the already established trend of high demand for foreign currency security leads to unprincipled increase the value of the Swiss franc and the yen. The dollar, which is currently also a member of a group “safe harbor” could not share the achievements of their colleagues in connection with the negative macroeconomic statistics. As the yen against the dollar reached a seven-week heights on data on consumer confidence in the U.S. for June, which were significantly below projections (52.9 points versus the expected 62.5 points). Financial situation of European banks are now located in the center of attention in the global financial community. Recall that in the midst of a crisis, last year the ECB has made a huge infusion of funds (442 billion euros) into the banking system by the June 2009 auction, where funds are provided in the loan for one year at a fixed rate of 1%. Accordingly, in June this year, these loans must be repaid. On Wednesday, the ECB provides an opportunity to refinance for 3-month loan. Some banks may prolong some of the proceeds of debt a year ago, but on less favorable for them. It is still unknown, how can he continue to behave the central bank of Europe, if the forthcoming auction for the provision of new 3-month loans will not solve the problems of European banks with refinancing of existing debt.

Ukrainian Globalist
2010-06-29 22:16, Currency news.

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