Trans-Atlantic Exchange Rate Report for August 26th-30th
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.
For the week of August 26th to August 30th, we observed the different Trans-Atlantic currencies and noted their exchange rate changes throughout the week. The Euro (blue) was the only currency to experience a negative change, ending the week at approximately -0.30%. The British pound (green) saw the most significant fluctuation around August 28th but settled at around 0.53% by August 30th. The Swiss franc (maroon) edged slightly above the British pound, closing the week at approximately 0.56%. Finally, the Canadian dollar (red) had the largest increase, ending the week at around 0.82%.
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 adding this week’s data to our historic trends graph, we observe the following: Unlike the previous week, all the currencies are trending downwards heading into the next week, likely due to the smaller changes in their exchange rates compared to the week prior. The Euro (blue) experienced the largest drop but remains well above its upper boundary. The Canadian dollar (red), British pound (green), and Swiss franc (maroon) also saw declines, albeit smaller than the Euro's, and like the Euro, they remain significantly above their upper boundaries. We will continue to add data to this graph in the coming weeks.
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