Euro Moves Higher in Holiday Trading

Most Western stock markets may be closed today, but Forex trading is happening nonetheless. Trading is relatively thin, though. Right now the euro is gaining against the US dollar on expectations of an economic recovery for the United States, and possibly the world.

Euro is holding the edge in mostly-rangebound trading today, making slightly gains against the US dollar. Euro is also higher against the Japanese yen, and holding mostly steady against the Great Britain pound (although the pound appears to be gaining something of an edge).

Even though euro is managing to stay above 2011 lows against the US dollar right now, there are still some issues associated with the 17-nation currency. There are stil a  number of unanswered questions about what’s next for the eurozone, and whether or note European Union leaders can stave off further problems.

So far, there has been a lot of talk about what should happen to stabilize the eurozone, but no real progress has been made. Some agreements about how countries will manage their finances in the future have been made (excluding Great Britain) with even non-eurozone countries. However, this doesn’t quite solve the immediate problem.

For now, though, optimism about the economic recovery has the euro slightly higher.

At 18:12 GMT, EUR/USD is slightly higher at 1.3071, up from the open at 1.3045. EUR/GBP is a little bit lower at 0.8360, down barely from the open at 0.8361. EUR/JPY is higher at 101.9090, up from the open at 101.8650.

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