Foreign exchange: Euro exchange rate significantly lower again after rising above 1.20 US dollars | message
NEW YORK (dpa-AFX) – The rate of the euro rose above 1.20 US dollars for the first time in two years on Tuesday, but was unable to maintain this level in late US currency trading. Most recently, the common currency cost $ 1.1911 and thus approached the $ 1.19 mark again. The European Central Bank (ECB) had previously set the reference rate at 1.1987 (Monday: 1.1940) dollars. The dollar had thus cost 0.8342 (0.8375) euros.
After rising above $ 1.20, better-than-expected US economic data caused an abrupt change in sentiment on the currency market. A better-than-expected sentiment among US purchasing managers in the industry turned trade with the euro. This had to give up its price gains in a short time and fell back to the level of early European trading on Monday.
The ISM purchasing managers index rose faster than expected to 56.0 points in August. Index levels of over 50 points signal an economic recovery. The ISM index is regarded as a reliable leading indicator of economic activity and is highly regarded in the financial markets./bek/he