Today major releases come from USA: second preliminary GDP data for the IV quarter 2013 and Chicago PMI. Both forecasts are negative.
First preliminary data on GDP has lowered the indicator to 3.2%, comparing to the 3,6% in III quarter of 2013. Today's figures will be even lower – 2.5%; they can weaken Dollar considerably. Moreover, decrease of GDP can slow down the curtailment of QE3 program.
February Chicago PMI won't strengthen the Dollar either. The index registers manufacturing and non-manufacturing activity in the Chicago region and is considered as leading indicator of national PMI. According to the forecast Chicago PMI will decrease to the level of 57.9 points, the lowest since last September.
Regarding fundamental data, we expect US Dollar to weaken against its opponents and the pair EUR/USD to reach the levels of 1.3820, 1.3845 and 1.3865.
Analyst of LiteForex Group of CompaniesPublication source