Dollar gains on euro after Wednesday low

Story link: Dollar gains on euro after Wednesday low

The US dollar gained versus the euro on Thursday after the prime minister of Luxembourg said that the euro’s recent gains are not “desirable” and that he felt that comments about currencies that emerged from last weekend’s meeting of the G-7 nations had been misunderstood.

Gains for the dollar were limited, however, by the news that the Philadelphia Federal Reserve’s general economic index was down to minus 24.9 in April from minus 17.4 in March, indicating that manufacturing in the region had contracted more than expected in April.

At shortly before noon in New York, the dollar traded at $1.5927 to the euro while it took ¥102.2200 to buy a dollar.

The British pound gained on the dollar, trading at 50.21p to the dollar while it was also up from a record low versus the euro to 79.97p to the shared currency.

Meanwhile, the Australia and New Zealand dollar made gains as investors took gains in equities markets as an opportunity to enter into transactions to buy high-yielding currencies funded with lower-yielding currencies such as the yen.

In late-morning trade in New York, the Australian dollar traded at A$1.0677 to thegreenback while it took ¥95.7392 to buy an Australian dollar .

At the same time, it took 78.83 cents US or ¥80.585 to buy a New Zealand dollar.