Dhaka, Bangladesh (BBN)- The US dollar continued its decline against multiple currencies to record lows, as initial worries about US economic recovery, and increased appetite for riskier currencies affected the greenback.
The Euro opened the week at 1.3078 against the greenback and reached a three-month high of US$ 1.3261 on Tuesday as better-than-expected European bank earnings boosted confidence in the European recovery.
At the end of the week the EUR was steady as Spain had a successful debt auction and Greece was on track to clear its loans according to news from the International Monetary Fund (IMF). The EUR closed the week, trading at around 1.3165 levels against the Greenback.
On the other hand, the British Pound Sterling (GBP) opened the week at US$ 1.5609 levels and continued to gain during the week against the US$ to reach a six-month high of US$ 1.5968 on Tuesday, before retracing to end the week at 1.5860.
The greenback reached an eight-month low against the Japanese Yen (JPY) on Wednesday at JPY 85.29 as the appeal of the JPY as a safe haven currency was affirmed by the decline of the USD on the weak US economic scenario. At end of the week the Greenback was trading at around JPY 85.95 levels.
The Australian Dollar (AUD) also continued its rise to a three-month high against the Greenback at US$ 0.9182 on Wednesday as rising commodity prices boosted the mining intensive country’s currency. At the end of the week the AUD was trading around US$ 0.9135 levels.
BBN/SSR/SI/AD-07Aug10-10:09 am (BST)