Arab Today, arab today euro hits 10year low against yen
Last Updated : GMT 08:53:10
Arab Today, arab today
Arab Today, arab today

Euro hits 10-year low against yen

Arab Today, arab today

Arab Today, arab today Euro hits 10-year low against yen

New York - Arabstoday

The euro capped off the most tumultuous year in its short history on Friday, slipping to a 10-year trough below 100 yen and struggling to hold gains against the dollar, a trend traders expect to continue in 2012. The euro fell 0.9 per cent to 99.77 yen (Dh4.73) and looked set to end the year down more than 8 per cent against Japan\'s currency. It held up a bit better against the dollar, shedding 3.1 per cent since the start of 2011, but day-to-day trading for most of the year was extremely volatile. From around $1.33 (Dh4.88) in January last year, the euro soared to $1.4939 by May, then began a steady descent as a Eurozone debt crisis that began in smaller countries such as Greece and Ireland spread to the larger core economies of Italy and Spain. Budget shortfall On Friday, the euro traded at $1.2940, less than a cent above its 2011 low hit earlier last week. The dollar lost 0.9 per cent to 76.95 yen and ended the year down 5.2 per cent against Japan\'s currency. \"Given that we are closing the year below $1.30, the path seems to be set,\" wrote Dennis Gartman, an independent investor and author of the daily Gartman Letter. He predicted the euro would drift toward $1.20 in early 2012 \"as the resolve on the part of the political, fiscal and monetary authorities in Europe are put to test.\" The focus shifted to Spain on Friday after the country\'s new government said the 2011 budget shortfall would be much larger than expected, and it announced tax hikes and wage freezes that could push Spain back to the centre of the crisis. Modest bounce The news drove the euro below 100 yen, though it later recovered some ground against the dollar, partly as traders took some last-minute profits and closed their books on 2011. It may even be due for a modest bounce in early January if only because positions are so heavily stacked against it. Commodity Futures Trading Commission data on Friday showed bets against the euro swelled to a record in the latest week. \"Since the market is overly bearish against the single currency, that does leave it susceptible to short-covering bounces,\" said Joe Manimbo, market analyst at Travelex Global Payments in Washington. \"But overall I think these anti-euro bets are justified given the still-unresolved debt crisis and the poor growth prospects.\" Elsewhere, sterling rose 0.8 per cent to $1.5530, ending the year little changed against the dollar. Chinese factor The same baggage that dragged on the euro last year — worries about sovereign debt levels and a lack of policy solutions — could hammer it this year, Manimbo said, adding that it could slide to $1.25 or even lower in the first quarter. In the absence of a comprehensive European policy response to the debt crisis, the euro could test its 2010 low of $1.1876 this year, some traders said. Some also said any decline in Chinese demand for US assets could push the dollar lower. China has been a steady dollar buyer in order to limit gains its own currency, the yuan. Chinese authorities loosened their grip a bit on the yuan last year, letting it appreciate by 4.7 per cent against the dollar. It closed at a record high against the greenback on Friday. Dollar, yen up The euro\'s troubles have benefited the dollar and yen, both of which tend to attract safe-haven flows during times of trouble. Against a basket of major currencies, the dollar was on track to finish the year up 1.3 per cent, its second consecutive annual rise. Still, questions remain about the strength of the US economy and whether the Federal Reserve will opt for a third round of monetary easing to boost lending and growth. If the Fed were to flood the financial system with more money through asset purchases or to state plans to extend its zero interest-rate policy beyond mid-2013, the dollar could struggle.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today euro hits 10year low against yen Arab Today, arab today euro hits 10year low against yen

 



Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today euro hits 10year low against yen Arab Today, arab today euro hits 10year low against yen

 



Arab Today, arab today France defies terrorism through tourism

GMT 15:18 2017 Saturday ,20 May

France defies terrorism through tourism
Arab Today, arab today Zainab Fadel Oglu designs “Shakerin” mosque

GMT 12:13 2017 Thursday ,11 May

Zainab Fadel Oglu designs “Shakerin” mosque

GMT 17:28 2017 Thursday ,18 May

Saudi stocks rise in heavy trading

GMT 21:37 2017 Wednesday ,17 May

US Stocks Close Mixed

GMT 04:58 2017 Wednesday ,17 May

Tadawul index gains 0.7%

GMT 06:20 2017 Tuesday ,16 May

Tadawul index climbs 0.6%

GMT 13:43 2017 Monday ,15 May

Oman share index declines marginally
View News in Arabic - Business: أسواق مالية
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Mozambique's gas boom dream under threat

GMT 16:29 2017 Monday ,08 May

Mozambique's gas boom dream under threat
Arab Today, arab today Prepares to give stargazers an eyeful

GMT 13:38 2017 Monday ,06 March

Prepares to give stargazers an eyeful
Arab Today, arab today Jaguar displays XF Sportbrake line

GMT 14:36 2017 Monday ,08 May

Jaguar displays XF Sportbrake line
Arab Today, arab today BMW sees forecasts in reach

GMT 09:04 2017 Thursday ,04 May

BMW sees forecasts in reach
Arab Today, arab today Climate science: Bad news gets worse

GMT 08:48 2017 Saturday ,06 May

Climate science: Bad news gets worse
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday