Trans-Atlantic Exchange Rate Report June 6th – 13th

By: Isabella Cortese, The Quinnipiac University Global Economics Research Team

Trans-Atlantic Currencies Index

Source: Eurostat 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 June 6th to June 13th, all tracked currencies experienced an overall decline in exchange rates. At the start of the week, each currency showed a 0% change. By June 9th, the euro (EUR) began to weaken, while the Canadian dollar (CAD) and Swiss franc (CHF) had already started to decline earlier in the week. In contrast, the British pound (GBP) showed a slight increase during this period. However, by June 11th, all four currencies saw a sharper downturn, reaching the following percentage changes: CAD at -0.4638%, EUR at -1.5784%, GBP at -0.2701%, and CHF at -1.117%. By the end of the week, all exchange rates either began to increase or remained roughly the same.

Trans-Atlantic Historical 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.

From mid-March to mid-June, all currencies exhibited an overall appreciation against the USD. The Canadian dollar (CAD) showed a steady upward trend from March to June, with a brief period of stagnation in May. The Swiss franc (CHF) experienced a sharp increase from March to mid-April, followed by a notable decline that ended in early May, after which it resumed its upward movement. The euro (EUR) followed a similar pattern to the CAD, with an initial short-term decline before appreciating steadily. The British pound (GBP) showed a consistent positive trend, apart from a brief but significant dip in early to mid-April. Overall, all four currencies are currently on an upward trajectory.