US Dollar Has Weakened

The euro strengthened against the US dollar. The currency rose after comments from ECB officials, which confirm the expectation of some narrowing of asset purchases next year. The British pound also grew. The US dollar and the Japanese yen are trading lower.

In a report released yesterday, ECB noted that interest rate risk is well managed by most European banks, but 51 of them may need intensive discussions. The net value of the banks' assets and liabilities will vary with the change in interest rates. The ECB has determined that the bank's own capital will decrease by 2.7%.

Governor of the Bank of Japan Haruhiko Kuroda said that Japan's economy is expected to continue to grow gradually in the future. Kuroda noted that the central bank will support the stimulus program and is optimistic that inflation will gradually rise to a 2% target due to closing the production gap and improving inflation expectations.