Last Updated : GMT 11:47:51
Arab Today, arab today
Arab Today, arab today

Euro tumbles to new 11.5-year low

Arab Today, arab today

Arab Today, arab today Euro tumbles to new 11.5-year low

The euro dived to another 11.5-year low on March 6, 2015
London - AFP

The euro dived Friday to another 11.5-year low, one day after the European Central Bank announced it would launch its massive stimulus package next week.
The single currency sank to $1.0963 -- the lowest since September 2003 -- as investors also awaited US non-farm payrolls data that, if strong enough, could support a Federal Reserve interest rate increase.
Analysts expect growth of 240,000 jobs in February and a fall in the unemployment rate to 5.6 percent from 5.7 percent.
"The euro has fallen to fresh lows versus the dollar as investors anticipate another solid US employment report in February, increasing the likelihood of a Fed tightening by mid-year," RIA Capital Markets analyst Nick Stamenkovic told AFP.
"By contrast, ECB president (Mario) Draghi signalled an open-ended aggressive asset purchase programme aimed at restoring price stability over the medium-term."
The ECB on Thursday said its 1.1-trillion-euro ($1.2 trillion) quantitative easing stimulus would be launched early next week.
Some analysts predict the eurozone unit could reach parity against the dollar amid a growing policy divergence between the ECB and the Fed.
The Frankfurt-based central bank is battling deflation risks across the 19-nation eurozone, while its US counterpart exited its own QE program in October, and is mulling an interest rate hike later this year amid optimism over the American economy.
"Diverging policy stances between the Fed and ECB look set to persist for some time, pushing the euro towards parity over the medium-term as the search for yield drives euro area investors to increase exposure to overseas assets," Stamenkovic told AFP.
However, Rabobank analyst Jane Foley cautioned that the Federal Reserve was mindful of weak US inflation.
- ECB 'will throw kitchen sink' -
"The combination of yesterday’s speech from Draghi and today’s US payrolls report have focussed attention on the divergence between the policy directions of the ECB and the Fed," Foley told AFP.
"The ECB has indicated that it is prepared to throw the kitchen sink in with its attempts to beat deflationary risk and the resultant weakness of euro/dollar will undoubtedly help with the policy’s success."
She added: "We do not think that the Fed will hike until December, based on weak inflation. Consequently we think that euro/dollar will avoid parity."
In later morning London deals, the euro stood at $1.0969 down from $1.1028 late in New York on Thursday.
European stock markets mostly edged higher, extending Thursday's gains after the ECB revealed it will launch its vast QE stimulus on Monday.
Frankfurt's benchmark DAX 30 index of top companies gained 0.07 percent to 11,512 points and the CAC 40 index in Paris won 0.06 percent to 4,966.20 points compared with Thursday's close.
On the downside, London's FTSE 100 fell 0.11 percent to 6,953.30 points, having posted a record closing high on Thursday on the ECB news.
Britain's mining sector hit particularly hard by sliding iron ore prices.
Fresnillo sank 1.77 percent to 723.50 pence, Randgold Resources dropped 1.47 percent to 4,765 pence and Anglo American slid 1.03 percent to 1,152.50 pence.
- Iron ore prices weigh -
"The FTSE 100 may have posted a new record close last night but this morning’s trade is being overshadowed by another drop in iron ore prices," said Trustnet Direct analyst Tony Cross.
"Heavyweight mining stocks are languishing at the foot of the table as the price moved below $60 per tonne into territory where it is difficult to make any margin."
Asian markets diverged Friday despite encouraging gains in New York.
Tokyo stocks soared 1.17 percent thanks to a weaker yen and Seoul closed 0.73 percent higher.
But Hong Kong shed 0.12 percent and Shanghai slid 0.22 percent, with investors subdued a day after China lowered its economics growth target for 2015.

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 tumbles to new 115year low Arab Today, arab today euro tumbles to new 115year low


Arab Today, arab today
Arab Today, arab today Adidas Originals ‘reinterpreted’

GMT 14:52 2016 Thursday ,01 December

Adidas Originals ‘reinterpreted’
Arab Today, arab today At Milaidhoo Island, Maldives

GMT 08:42 2016 Wednesday ,07 December

At Milaidhoo Island, Maldives
Arab Today, arab today Paris's matchbox apartments

GMT 10:37 2016 Saturday ,24 September

Paris's matchbox apartments
Arab Today, arab today As West watches Aleppo slip away

GMT 08:15 2016 Saturday ,10 December

As West watches Aleppo slip away
Arab Today, arab today 'Rookie' Trump must fall into line

GMT 08:02 2016 Tuesday ,06 December

'Rookie' Trump must fall into line

GMT 19:39 2016 Saturday ,10 December

Unnited States Stocks Close at Records

GMT 22:22 2016 Thursday ,08 December

Muscat Stock Index Gains 11.23 Points

GMT 22:18 2016 Thursday ,08 December

Bahrain Stock Index Gains 10.48 Points

GMT 19:08 2016 Thursday ,08 December

United States Stocks Higher at Close of Trade

GMT 12:18 2016 Thursday ,08 December

Singapore stocks end down 0.03 pct

GMT 09:58 2016 Thursday ,08 December

Asia markets build on global rally with ECB in focus

GMT 23:19 2016 Wednesday ,07 December

US Stocks End High on Tuesday

GMT 21:42 2016 Wednesday ,07 December

Chinese Yuan Weakens to 6.8808 against USD Wednesday
View News in Arabic - Business: أسواق مالية
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today The summer school raising aspirations

GMT 12:49 2016 Tuesday ,06 December

The summer school raising aspirations
Arab Today, arab today Ryan Gosling, Emma Stone immortalized

GMT 12:31 2016 Thursday ,08 December

Ryan Gosling, Emma Stone immortalized
Arab Today, arab today Australia's Rinehart, China group

GMT 10:02 2016 Friday ,09 December

Australia's Rinehart, China group
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Hyundai allows Saudi journalists

GMT 15:14 2016 Thursday ,01 December

Hyundai allows Saudi journalists
Arab Today, arab today Latest Infiniti QX to compete

GMT 13:16 2016 Saturday ,26 November

Latest Infiniti QX to compete
Arab Today, arab today Kirk Douglas at 100, still in love

GMT 12:19 2016 Thursday ,08 December

Kirk Douglas at 100, still in love
Arab Today, arab today Swiss unveil stratospheric solar plane

GMT 13:47 2016 Thursday ,08 December

Swiss unveil stratospheric solar plane

GMT 10:48 2016 Tuesday ,06 December

France bets on Bollywood

GMT 10:52 2016 Tuesday ,06 December

Vanessa Redgrave makes directing

GMT 04:15 2016 Thursday ,30 June

World's largest uncut diamond fails

GMT 11:39 2016 Tuesday ,06 December

Indonesia expands protection

GMT 15:59 2015 Wednesday ,27 May

Seoul elevates gardening to high art

GMT 12:39 2016 Saturday ,26 November

Skin patch could help kids

GMT 13:17 2016 Friday ,25 November

Ajman Tourism launches time capsule

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 14:08 2016 Saturday ,10 December

Samsung Galaxy A8 arrives in Saudi market

GMT 09:53 2016 Sunday ,15 May

OMEGA official timekeepers
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

Powered and Developed by FilmMatters

Copyright © 2016 Arabtoday

Developed by FilmMatters

© 2016 Arabtoday

arabtoday arabtoday arabtoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabtoday, Arabtoday, Arabtoday