The foreign exchange market has been under pressure after the Russian invasion of Ukraine. While some currencies have already recovered, others such as the euro, the British pound and the Japanese yen are the most affected.
The yen has depreciated 11.83% against the dollar, while the Swiss franc loses 11.77% and the Turkish lira 6.77 percent.
The British pound went from 1.3542 dollars per pound on February 23 to 1.2838 per pound, a depreciation of 5.20%, a similar movement for the euro, which went from 1.1191 to 1.0794 dollars per euro, a depreciation of 3.55 percent.
Janneth Quiroz, deputy director of Economic Analysis at Monex, explained that “a good part of the depreciation of the euro is due to the expectations of economic impact as a consequence of the war, but also the fact that the central banks have maintained an ultra-expansive monetary policy, a situation which has also moved the yen”.
In fact, the Dollar Index, which measures the strength of the North American currency against a basket of six reference currencies, rose 5.13% to 101.12 points at the end of Friday.
While strong currencies have lost, those of emerging economies are holding up, topped by the Brazilian real, which gains 4.27 percent.
The Peruvian sol has appreciated 0.68% while the Mexican peso resists with a gain of 0.11 percent.