US Dollar Decreased to 1-Month Minimum, While Euro Stayed Stable
The US dollar fell almost to a monthly low against the basket of major currencies, while commodity currencies such as Australian and Canadian dollars reached two-month highs thanks to higher prices for energy and metals. The dollar index was at the level of 92.602, which is the lowest level since November 27. The US dollar declined in 2017, despite the fact that the US economy expanded, and the Federal Reserve tightened monetary policy.
The euro was stable at $1.1947 and was close to the monthly high of $1.1959, set yesterday. The European single currency rose by 0.3% in December, and almost did not react to Italy's announcement that it will hold elections on March 4. The euro has risen by 13.5% this year, and this is its strongest annual increase since 2003.
The Australian dollar rose by 3% this month, thanks to higher prices for commodities such as iron ore and copper. The Canadian dollar continued its growth and touched the level of $1.2555, which is the strongest since October 20. The New Zealand dollar rose to $0.7099, which is the highest since October 19.