The primary currency pair declined on Friday. The current EURUSD exchange rate stands at 1.1062.
Sharp price fluctuations, like those currently observed, are possible in a thin and low-liquidity market. The situation will become more predictable as most investors resume transactions after the New Year.
The weekly report on initial jobless claims in the US revealed an increase of 12 thousand, reaching 218 thousand. The previous week's figure was 206 thousand (a revised reading) and was expected to rise by 6 thousand.
There is no further news. The foreign exchange market appears confident and favourable as the year ends. The critical supportive factor for buyers is the expectation of US monetary easing in 2024, exerting pressure on the USD and allowing other currencies to appreciate.
In 2023, the euro strengthened by 3.4% against the US dollar, starting the year at 1.0702 and concluding at approximately 1.1060.
Our analytics team will be back on 9 January 2024 with the latest overviews and forecasts. Happy Holidays!