The devaluation of the European Common Market currency has been remarkable against the Colombian currency.
It is usual to evaluate the performance of the Colombian peso against the US dollar, a currency that has been losing ground with the local currency during the last weeks.
However, the U.S. currency has not been the only one that has been losing strength against the peso, a situation caused by factors such as the economic scenario in the United States and the current situation of the Colombian government.
The currency circulating in the European Union and known for being one of the most stable currencies in the world, the Euro, has had a constant decrease in the last weeks compared to the Colombian peso.
At the end of May, the Colombian Euro exchange rate was at 4,721.22 pesos. At the beginning of June, the currency was already quoted at 4,727.18 pesos on the 1st of the month, which suggested a strengthening of the currency, which was reaffirmed on June 2, when it rose to 4,733.11 pesos.
However, after the weekend of June 3 and 4, the euro began the week of June 5 with a quotation of 4,671.81 pesos, a fall of 61.3 pesos with respect to the previous Friday and, from that date on, the currency has maintained its downward trend.
On Tuesday, June 6, the euro reached 4,656.57 pesos and on June 7 it dropped to 4,503.78 pesos, which means that since June 2 the euro has dropped a total of 229.33 pesos to date.
It is important to note that the euro has fallen from the more than 5,000 pesos at which it was traded at the end of 2022 and the beginning of 2023.
The value of the euro in Colombia for the future is uncertain, since, like the dollar, this currency depends on the confidence that the country provides to invest, as well as the political situation that the country is going through, making its quotation go up or down slowly with the passing of the days.
The euro’s exchange rate against the dollar, inflation, the country’s monetary policy, economic growth and the supply and demand of the currency, are factors that may affect the trading of the European currency against the peso.
Based on this analysis, the governmental situation, as well as the dollar have had an influence on the quotation of the currency in the domestic market.
Published by Emirates Herald, news and information agency.