Euro to Dollar Exchange Rate Fell ahead of the ECB Forum

Euro to Dollar Exchange Rate Fell ahead of the ECB Forum

On Tuesday, the euro to dollar exchange rate traded lower as market participants looked forward to the European Central Bank’s forum today.

The EUR currency tumbled 0.12% to $1.17, trailing its decline of 0.25% yesterday.

Moreover, ECB President Christine Lagarde will head the forum in Portugal with other central bank board members. 

In addition, investors still observe the uncertainty of Germany’s political climate following the general election last Sunday.

Then, Germany’s GfK consumer climate improved to 0.30% from September’s data of -1.10%. 

Also, the figure climbed from the expected rate of -1.60%, which should be taken positively for the euro to dollar exchange rate. 

Consequently, traders focused on the fate of the troubled Evergrande as it now has a 30 days grace period before it falls into default.

Meanwhile, the US dollar index, which tracks the greenback against a basket of six other currencies, improved 0.15% to $93.53.

Furthermore, the Treasury yields hiked to 1.54%, which significantly supported the increase in the USD. 

Whereas the possibility of asset tapering by November pushed the recent rise in the yields.

Consequently, other currency pairs were mixed as the euro to dollar exchange rate declined. 

The GBP/USD pair plummeted 0.01% to $1.37 as the USD/CAD pair fell 0.05% to $1.26. 

Similarly, the risk-sensitive AUD/USD pair tumbled 0.05% to $0.73.

Subsequently, Australian retail sales improved at -1.70% month-on-month from its previous -2.70%.

On the other hand, the USD/CHF pair rose 0.32% to $0.92 as the EUR/CHF extended 0.16% to $1.08%.

Likewise, the EUR/JPY pair hiked 0.16% to $130.00 as the AUD/JPY pair improved 0.23% to $81.05.

Yen Exchange Rate Improved as the Euro Decline

Moreover, the yen exchange rate improved as the Euro to Dollar exchange rate declined. 

Accordingly, the safe-haven currency surged 0.34% to $111.38 against the USD. 

On Monday, the Bank of Japan’s monetary policy meeting noticed a possible risk delay in the country’s economic recovery. 

Meanwhile, most of the Asian currencies were up in the trading market. 

For instance, the Chinese yuan edged up 0.02% or $6.46 as the South Korean won spiked 0.63% to $1,185.24. 

Then, the Thailand baht climbed 0.30% to $33.69 as the Indian rupee increased 0.28% to $74.035.

Consequently, the Indonesian rupiah boosted 0.18% to $14,275.00 as the Singapore dollar soared 0.13% to $1.355.00.

On the other hand, the New Zealand dollar stumbled 0.40% to $0.70.