Currency exchange rates see relative stability after Eid El-Fitr break

Daily News Egypt
2 Min Read

By Waleed Abdel Azim

The exchange rates of different currencies have stabilised during the Eid holiday and demand has not increased for any of the major currencies. The US dollar recorded a rate of 6.08, the Euro recorded a rate of 7.55 and the GB pound recorded a rate of 9.85 to the Egyptian pound.

An official at a foreign exchange firm said there was no increased demand for any of the currencies during Eid. He also expects no demand increase for a certain currency during the coming period.

The Euro exchange rate for the US dollar has recorded an increase for the last two weeks. Bankers attributed this to a large buying order by an Asian bank. Therefore, the Euro achieved profits and exceeded technical levels, which led to buying orders to prevent the losses.

The Euro increased to 1.24149 against the US dollar, which is the highest rate since 7 August. The unified currency exceeded its high level—1.2386 USD on 14 August, and also exceeded the moving average during 55 days—1.2390 USD. Therefore, buying orders were issued to prevent the losses when the USD 1.2400 level was exceeded.

The GB Pound also recorded high levels in three weeks—USD 1.5757, whereas the Euro’s levels increased in six weeks at 98.55 Yen at EBS (Electronic Broking Services) trading platform.

Euro profits arrived at the same time as the European Central Bank (ECB) is expected to reduce borrowing costs for Spain and Italy. The ECB recently issued a report this week targeting fixed yields (putting cap on yield), within a bonds buying program.

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