Euro finishes up over $1.40

The euro rose against the US dollar for the second day in a row on Friday, closing up 0.69 cents (0.49%) at $1.4055.

• In early trading on Friday the euro strengthened against the dollar, after strong gains on European equities improved investor risk appetite.
  
• In addition, the US Fed’s clear indication on Wednesday that interest rates would not increase for the rest of this year prompted investors to look elsewhere for higher-yielding assets. There had been some talk in the market before their latest meeting that a rate rise may be on the cards following some positive data, however the Fed’s cautionary announcement dampened these hopes, weakening the dollar as a result.
  
• In trading so far today the euro has dipped against the greenback as investors look ahead to some important economic announcements out this week.
  
• There are no major announcements due in the eurozone or US today.