The Euro gained 0.4 percent last week, hitting $1.2334, and there are strong positive signs that the common currency will continue gaining over the next few months. This is good news for many investors as the Euro has edged downward 9.1 percent in the past yearwhile the dollar, in contrast, rose 7.6 percent over the same period. The currency’s upswing was evident during Monday’s Asian session as the EUR/USD pair hit a high of $1.2353. European shares also showed promise at the end of last week, closing at 13 month highs on Friday on renewed hopes that European leaders will take action to ameliorate the region’s continuing economic troubles. Also contributing to the increased consumer confidence is speculation that the ECB will consider setting yield thresholds for bonds purchased in struggling European countries.
In addition to posting gains against the dollar, the Euro also rose 0.06 percent to 0.7864 against the Pound during Monday’s Asian session, though it traded lower against the Yen, hitting 98.12. The summer’s thin, volatile trading will be coming to an end, and investors are looking towards this week’s announcements which include the publication of minutes from the recent Federal Reserve meeting this coming Wednesday and a meeting between the prime ministers of Luxembourg and Greece to discuss a fiscal adjustment for Greece. Greek Prime Minister Antonis Samaras will also meet with French President Hollande and German Chancellor Merkel later this week.