Euro is mixed today, thanks to comments made by Mario Draghi following the latest ECB meeting. Concerns about the strength of the economic recovery in the eurozone are weighing on the 17-nation currency. The euro is higher against the dollar and the pound, but lower against the yen.
Yesterday, the European Central Bank announced that it would keep the rate at 0.5 per cent. During his remarks, Mario Draghi said that policymakers had discussed lowering the rate. Concerns about the eurozone economy are on the rise again. Even though there have been improvements in the economy, they are still not good enough to warrant monetary tightening.
As a result, the euro isn’t performing as well, although it is getting a boost against the US dollar thanks to disappointing jobs data today. Euro is down against the yen, however, and only a little higher against the UK pound.
Also not helping the euro is the fact that Ireland is asking for a backstop, and Greece is likely to need more aid. The periphery just doesn’t seem to be holding it together.
At 15:00 GMT EUR/USD is up to 1.3162 from the open at 1.3121. EUR/GBP is up to 0.8425 from the open at 0.8416. EUR/JPY is down to 130.2380 from the open at 131.3405.
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