TVC:EXY   Euro Currency Index
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The Euro Currency Index (EUR_I) represents the arithmetic ratio of four major currencies against the Euro: US Dollar , British Pound, Japanese Yen and Swiss Franc . All ratios are expressed in units of currency per Euro . The index was launched in 2004 by the exchange portal Stooq.com. Underlying are 100 points on 4 January 1971. Before the introduction of the European single currency on 1 January 1999 an exchange rate of 1 Euro = 1.95583 Deutsche mark was calculated.

Based on the progression, Euro Currency Index can show the strength or weakness of the Euro . A rising index indicates an appreciation of the Euro against the currencies in the currency basket, a falling index in contrast, a devaluation. Relationships to commodity indices are recognizable. A rising Euro Currency Index means a tendency of falling commodity prices. This is especially true for agricultural commodities and the price of oil . Even the prices of precious metals ( gold and silver ) are correlated with the index.

Arithmetically weighted Euro Currency Index is comparable to the trade-weighted Euro Effective exchange rate index of the European Central Bank (ECB). The index of ECB measures much more accurately the value of the Euro , compared to the Euro Currency Index , since the competitiveness of European goods in comparison to other countries and trading partners is included in it.