Trans-Atlantic Exchange Rate Report for May 6 - 10

By Lucas Messaggi, The Quinnipiac University Economics Research Team

Trans-Atlantic Currencies Index

Source: Yahoo Finance and own calculations. Exchange rates are inverted to be USD per local currency (i.e., an increase indicates a stronger domestic currency) and then indexed to be 100 at the start of the period.

During the week of May 6th to the 10th, we observed changes in the Trans-Atlantic currencies relative to the United States Dollar. All four currencies exhibited similar patterns throughout the week with some slight differences. The Swiss franc (maroon) and Euro (blue) remained robust throughout the week, experiencing an increase of about 0.40% for the franc and approximately 0.48% for the Euro. The British pound (green) remained stable relative to the dollar initially, then rose before sharply declining to conclude the week at -0.124%. Lastly, the Canadian dollar (red) dipped below the reference line and remained in negative territory throughout the week, finishing around -0.10%.

Trans-Atlantic Historic Trends

Source: Yahoo Finance and own calculations. Exchange rates are inverted to be USD per local currency (i.e., an increase indicates a stronger domestic currency. The center line is a rolling three-month average. The upper and lower boundaries are the average plus and average minus one standard deviation, respectively, for the same three-month period.

After incorporating this week into our historical trends, we notice the following patterns. The Canadian dollar (red), the Euro (blue), and the British pound (green) all seem to be trending upwards in strength, with the Euro showing the most significant increase compared to last week. Conversely, the Swiss franc (maroon) appears to be trending downwards. However, all four currencies remain below their three-month averages.