The Euro Slips in Monday Morning Trading

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By Jacob Maslow

The euro slipped in early morning trading along with several other currencies. The EUR/USD dropped 0.6% on the day to end at 1.0709. Initial data showed that the currency slipped even further in early morning trading before markets began to stabilize following the major terrorist attack in Paris.

The European Central Bank’s president has further led to euro destabilization with the announcement that all options are being discussed at the December 3 meeting to help bolster the European economy. Draghi has stated that there is a potential for the bank to buy back assets and increase purchases while also increasing current interest rates.

A survey that was conducted by the ECB of all the major banks indicated that much of the QE funds provided to them were not to provide new loans consumers or businesses. Fluctuations in the currency are expected to continue after the December 3 meeting of the ECB.

European markets opened lower on Monday morning, but rebounded to near flat results. Many indexes were down slightly on the day, while the FTSE 100 gained 0.46% on the day. France’s CAC 40 was down 3.64 points, or 0.08%, on the day. The country is calling for the European Union to increase border control as a result of the terrorist attacks this weekend.

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