Friday Fact

Contrary to popular belief, only two Founding Fathers signed the Declaration of Independence on July 4, 1776.

The majority of the 56 signatories penned their signatures almost a month later on August 2, 1776.

The week in review

The last week of June marks the end of the month, Q2, and the first half of the year. It also marks a poor week for the US dollar, which has been on a slide since the beginning of the year.

Central bankers helped push the euro and the pound up more than 2 percent against the USD.

Hopes are running high for a rate rise at the ECB. Hawkish comments from the European Central Bank head Mario Draghi Tuesday have investors pricing in a 90% chance of a rate hike by mid-2018.

Despite follow-up commentary trying to dampen the perception of Draghi’s change in tone, investors remain elated at the thought of tighter monetary policy in the euro area. The euro is trading up 2.3% against the dollar from the start of the week.

Bank of England Governor Carney also hinted at a rate rise. In a panel discussion Wednesday, Carney said that some removal of monetary stimulus could be necessary in the near term. Continued growth in the UK economy would eventually lead to higher interest rates, but he closed with a standard “wait and see” approach that has characterized the policy outlook in recent months.

Oil rallied significantly this week, taking the Canadian dollar higher as similar tones from the Bank of Canada stoke hopes for interest rate hikes build there as well.

The one bright spot for the greenback was against the Japanese yen. Higher risk appetite caused the yen to weaken a cent against the dollar to trade in the low 112s.