The euro returns gains
On Wednesday, the euro gave up its early gains. The most recent price of the European common currency in US dollars was 1.0123. It was traded at about the same price as when it first started trading. The euro went up to $ 1.0172 at noon. The reference rate was set by the European Central Bank at 1.0152 dollars (it was 1.0124 dollars on Tuesday). So, one euro cost 0.9850 (0.9878) dollars.
In the morning, the euro had gotten back some of the money it had lost the day before. Concerns about natural gas supply have been a burden recently. In the afternoon, he faced more trouble. In June, more durable goods were bought in the US than was expected. This was good for the dollar.
In the meantime, people on the market are waiting for the US interest rate decision, which will be made tonight. It is likely that the US Federal Reserve will keep raising interest rates by 0.75 percentage points to fight the very high inflation. Then, the key interest rate would be between 2.25 and 2.5 percent. By the end of the year, it’s likely to be well above 3 percent.
The ECB set the reference rates for one euro at 0.84138 (0.84558) British pounds, 138.89 (138.35) Japanese yen, and 0.9768 (0.9765) Swiss francs in relation to other important currencies. This afternoon in London, the price of an ounce of gold was $1,714. That was $3 less than what it was on Tuesday.