The Australian Dollar to Euro (AUD/EUR) exchange rate softened by around -0.6% during Friday’s European session.
Despite a complete absence of domestic data to drive changes, the Australian Dollar softened versus most of its major peers.
The depreciation can be linked to damp market sentiment after falling crude oil prices and global equities volatility weighed on trader risk-appetite.
According to United Overseas Bank, AUD/USD exchange rate outlook will shift to bullish, stating; ‘As highlighted in recent updates, the undertone for AUD/USD appears to be positive as long as 0.7065/70 continues to hold. However, only a daily closing above 0.7200 would shift the outlook to bullish.’
The Australian Dollar to Euro (AUD/EUR) exchange rate was trending in the region of 0.6399 during Friday’s European session.
During Friday’s European session the shared currency strengthened versus most of its major peers despite registering disappointing domestic data.
Of particular disappointment was the news that Eurozone Consumer Confidence declined well beyond expectations to -8.8.
In response to the Eurozone confidence data Bert Colijn, Research Analyst at ING stated: ‘Consumer confidence in the Eurozone has plummeted to -8.8 in February from a reading of -6.3 the month before. Analysts had only expected a decline to -6.7, but concerns about the strength of the global economy and financial markets, geopolitical risks and a looming Brexit have clearly spooked the European consumer more than expected.’
The Euro maintained its uptrend, however, after falling global stock values and weaker crude oil prices caused heightened demand for financer assets. The Euro’s safe-haven credentials also enabled the common currency to rise.
Given that global equity markets are showing little sign of stability, and with China’s economic woes unlikely to abate any time soon, market sentiment is likely to continue to cause FX market movement. This is made even more likely with the AUD/EUR exchange rate with a lack of hugely influential domestic data pertaining to Australia scheduclued next week.
The Australian Dollar to Euro (AUD/EUR) exchange rate was trending within the range of 0.6371 to 0.6436 during Friday’s European session.
Disclaimer: Currency-Converter.com.au and its data provider, TorFX, make no claims regarding the validity or exactness of the information provided in on this site and will not be held liable for any use, interpretation, or other implementation of the information provided. Currency-converter.com.au make no warranties, express or implied, as to results to be obtained from use of such information, and make no express or implied warranties of condition, quality, performance, merchantability or fitness for a particular purpose or use. Currency-converter.com.au shall not have any liability for the accuracy of the information contained in the services provided or ommissions there in which are made available on a free, as-is basis. None of the aforementioned parties shall be liable for any third party claims or losses of any nature, including, but not limited to, lost profits, punitive, consequential, special, incidental, indirect or similar damages even if advised of the possibility of such damages. Rates offered are interbank rates and may not be the same as offered by your financial institution, and do not include commissions. Rates shown on this site will vary from those provided by TorFX or other providers linked to from this site.