Summary Of World Currency Markets For November 2010

Tuesday December 14, 2010

It’s time once again to see what happened on the world currency markets during November. Would the US dollar benefit from the currency converter rates that were in place at the time?

An overview of the currency markets during November

When October came to an end the US dollar was achieving a rate of 0.6268 against the British pound. By the 4th that had slipped to 0.6148, but there was more in store yet. It was back up to 0.6222 on the 10th and then it seemed to hold its own throughout much of the rest of the month. The last few days held the real story though, as the dollar pushed back up and finished with a flourish on 0.6444.

Meanwhile the Euro has been having significant problems of its own in recent weeks, so could the US dollar capitalize on that and ensure it finished November in a better state than it started it in?

The opening rate was 0.7216 but it immediately dropped to 0.7180 the following day. However the US dollar was not to be deterred and even when it fell to 0.7020 a few days later, this would turn out to be the lowest rate for the entire month. From then on it was largely very good news, and eventually November came to an end with the US dollar claiming a successful 0.7693 against the Euro.

It was actually a very similar story for the Hong Kong dollar when the US dollar went up against it. From a starting point of 7.7554 things trundled along quite steadily for a good couple of weeks. There were improvements from the US dollar but only marginal ones. You had to look more closely in the last few days of the month to see the real improvements. That was when the dollar finally pushed against the Hong Kong dollar to claim a closing rate of 7.7688.

Elsewhere the US dollar also did its best against the Japanese yen. The opening rate was 80.731 and three days into the month the US dollar had reached 81.111. There were hiccups to come of course, but by and large the US dollar had managed to do quite well, and it eventually brought the month to a close on 83.859.

Meanwhile, over in Europe…

Everyone seemed to be taking advantage of the beleaguered Euro last month, as the performance of the British pound shows us. Starting with a rate of 1.1512 we watched as it gradually did better throughout the month as a whole. But even we couldn’t have foretold its performance being as good as it was, as it pushed the Euro down to claim a final rate for November of 1.1938.

Elsewhere last month…

When the Canadian dollar closed against the US dollar last time around, we were looking at a closing rate of 0.9792. Just a few days later we were virtually at parity, as it achieved a rate of 1.0010.