London — On Wednesday, the euro hit a one-year high and German 10-year Bund yields continued to rise after doubling the previous day, as bets grew that the European Central Bank (ECB) is readying to scale back its €2-trillion stimulus programme. It was a lively start to European trading. The bond market sell-off and jump in the euro came as a dive in technology stocks after the latest global cyber attack sent European shares to a two-month low. The euro was eyeing up $1.14 and was at a seven-month high versus the pound after an upbeat ECB president Mario Draghi opened the door, on Tuesday, to changes to the bank’s aggressive stimulus policy. The currency is now up almost 10% this year. The head of the US Federal Reserve, Janet Yellen, and one of her lieutenants, Patrick Harker, said on Tuesday that they expected to continue raising US interest rates, but it couldn’t rally the dollar. This provoked the banking world’s single biggest cheerleader for a stronger dollar, Deutsche Bank, t...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.