The euro soared to its highest level ever against the US dollar yesterday, trading above US$1.40 for the first time since the currency was introduced in 1999.
The 13-nation euro bought as much as US$1.4064 in morning trading in Europe before falling back slightly to US$1.4054, above its previous high on Wednesday night of US$1.3987, and more than the US$1.3964 it bought in late New York trading.
Breaking the US$1.40 barrier has long been viewed by analysts, and markets, as a key turning point in solidifying the euro's position in global currency markets and will provide more impetus for its competition as the currency of choice, a position long held by the now weakening dollar.
The rising euro has yet to cause great consternation among most of the 13 nations that use the common currency, but as it rises, it could dampen exports, particularly to the US, making anything from automobiles to consumer appliances more expensive to US buyers.
The latest series of record increases came in the aftermath of a decision by the US Federal Reserve to lower its key interest rate to 4.75 percent from 5.25 percent, as it tries to keep the US economy on track despite market turbulence from the subprime lending crisis.
Most analysts had expected a quarter-point cut. Lower interest rates, used to jump-start the economy, can weaken a currency by giving investors less return on investments denominated in the currency.
The US dollar also fell against other currencies, dipping against the British pound to US$2.0069 compared with US$2.0025 in trading late on Wednesday and slipping against the Japanese currency to ?115.44 from ?116.09 late on Wednesday.
INSURRECTION: The NSB said it found evidence the CCP was seeking snipers in Taiwan to target members of the military and foreign organizations in the event of an invasion The number of Chinese spies prosecuted in Taiwan has grown threefold over a four-year period, the National Security Bureau (NSB) said in a report released yesterday. In 2021 and 2022, 16 and 10 spies were prosecuted respectively, but that number grew to 64 last year, it said, adding that the Chinese Communist Party (CCP) was working with gangs in Taiwan to develop a network of armed spies. Spies in Taiwan have on behalf of the CCP used a variety of channels and methods to infiltrate all sectors of the country, and recruited Taiwanese to cooperate in developing organizations and obtaining sensitive information
Seven hundred and sixty-four foreigners were arrested last year for acting as money mules for criminals, with many entering Taiwan on a tourist visa for all-expenses-paid trips, the Criminal Investigation Bureau (CIB) said on Saturday. Although from Jan. 1 to Dec. 26 last year, 26,478 people were arrested for working as money mules, the bureau said it was particularly concerned about those entering the country as tourists or migrant workers who help criminals and scammers pick up or transfer illegally obtained money. In a report, officials divided the money mules into two groups, the first of which are foreigners, mainly from Malaysia
SILICON VALLEY HUB: The office would showcase Taiwan’s strengths in semiconductors and artificial intelligence, and help Taiwanese start-ups connect with global opportunities Taiwan has established an office in Palo Alto, one of the principal cities of Silicon Valley in California, aimed at helping Taiwanese technology start-ups gain global visibility, the National Development Council said yesterday. The “Startup Island Taiwan Silicon Valley hub” at No. 299 California Avenue is focused on “supporting start-ups and innovators by providing professional consulting, co-working spaces, and community platforms,” the council said in a post on its Web site. The office is the second overseas start-up hub established by the council, after a similar site was set up in Tokyo in September last year. Representatives from Taiwanese start-ups, local businesses and
‘DETERRENT’: US national security adviser-designate Mike Waltz said that he wants to speed up deliveries of weapons purchased by Taiwan to deter threats from China US president-elect Donald Trump’s nominee for US secretary of defense, Pete Hegseth, affirmed his commitment to peace in the Taiwan Strait during his confirmation hearing in Washington on Tuesday. Hegseth called China “the most comprehensive and serious challenge to US national security” and said that he would aim to limit Beijing’s expansion in the Indo-Pacific region, Voice of America reported. He would also adhere to long-standing policies to prevent miscalculations, Hegseth added. The US Senate Armed Services Committee hearing was the first for a nominee of Trump’s incoming Cabinet, and questions mostly focused on whether he was fit for the
RSS