The Trader 

Euro and European currencies on the slide

The Trader

Since early 2015, the US dollar index has been very steady – admittedly towards the more expensive end of the scale of the last decade. It’s held between 90 and 102 for five whole years, with a mean regression at 96, meaning the price saw a 6.25 per cent variation either side of here. Digging deeper into the detail it only held at or close to 102 for at best 5 months (in 2017), and dipped intermittently below 90 for a brief four months. Therefore, the bulk of the time it held between 92 and 100 taking observed volatility down to 4.15 per cent. Really low for the FX market, and yet another headache for the FICC (fixed income, currencies and commodities) departments at commercial banks.

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