Euro Jumps with Help of Fed Minutes & Greek Bailout

The euro jumped today against its most-traded counterparts, climbing more than 1 percent against the US dollar. Both domestic and overseas news contributed to the rally of the shared 19-nation currency.

One of the major contributors to the euro’s strength was the weakness of the dollar. The greenback fell after the dovish Federal Reserve minutes, helping other currencies to rally. Yet this alone could not explain the surge of the euro, as it rallied not just against the dollar but versus all other major currencies as well.

The explanation for the amazing performance of the eurozone currency could be found in the news from Europe itself. Greece received the much-needed bailout at last, reducing concerns about the future of the indebted nation and the whole eurozone. Yet the Greek story is far from an end, especially considering that Prime Minister Alexis Tsipras resigned from his seat, opening door to snap elections and increasing political uncertainty in the country that desperately needs stability and confidence in the future.

EUR/USD surged from 1.1119 to 1.1233 as of 22:33 GMT today. EUR/GBP leaped 1 percent from 0.7087 to 0.7159. EUR/JPY climbed from 137.62 to 138.66.

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