Trans-Atlantic Exchange Rate Report September 15th –19th

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 September 15^th to September 19^th, all four currencies showed steady declines early in the period, reaching their lowest points around September 17^th. The Swiss Franc (maroon) experienced the sharpest drop, falling to about -1.2%, while the euro (blue) declined to roughly -1.0%. The British Pound (green) also weakened, dipping to around -0.8%, and the Canadian dollar (red) fell to about -0.6%. In the final days of the week, a rebound occurred across all currencies. The British pound recovered most strongly, climbing back into positive territory to nearly +0.5%. The euro and Swiss franc also recovered, though they remained slightly negative by the end of the period. The Canadian dollar, despite being the weakest performer midweek, staged a late rebound and ended close to even. Overall, all four currencies demonstrated a decline and recovery throughout the week, with the British pound demonstrating the greatest resilience.

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 early July to mid-September, the four tracked currencies showed mixed performance with periods of volatility. The Canadian dollar (CAD) peaked above 0.735 in early July before trending downward through August, stabilizing near 0.725. The Swiss franc (CHF) climbed steadily through July, reaching above 1.26, before dipping in August and rebounding to fresh highs around 1.27 in September. The euro (EUR) strengthened from early July, rising from about 1.15 to nearly 1.18, and despite some fluctuations, held its gains into September. The British pound (GBP) showed the most volatility, climbing above 1.37 in July, falling sharply below 1.33 in August, and then recovering to around 1.36 in September. Overall, the euro and Swiss franc showed sustained strength, while the Canadian dollar weakened, and the British pound remained highly volatile.