After dropping below the 1.2800 level against the US dollar earlier today, the euro is gaining on the day. Risk appetite and a commitment to the euro are helping the 17-nation currency regain some of its earlier losses against the greenback.
Earlier, when making the latest ECB announcement, Mario Draghi highlighted some of the challenges still facing the eurozone. The announcement sent the euro plunging against the US dollar, dropping it below the 1.2800 level.
Euro is recovering somewhat, though, as other comments from Draghi are considered. Draghi highlighted the situation with Cyprus as one that proves that there is a commitment to the euro. The ECB‘s moves, as well as the efforts by Cyprus to come to an arrangement, are indicative of the fact that the ECB is ready to take action to promote stability, and that member states are willing to do what it takes to remain in the eurozone.
For now, this is enough to give the euro a boost, especially in light of disappointing US economic data and the latest BOJ easing announcement.
At 14:26 GMT EUR/USD is up to 1.2861 from the open at 1.284, and up from the session low of 1.2745. EUR/GBP is down to 0.8480 from the open at 0.8491. EUR/JPY is up to 123.4800 from the open at 119.5550.
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