Euro set to strengthen

27 April, 2017

Euro set to strengthen

The Euro is trading slightly lower against its US counterpart in today’s trading after rallying for the past few days and some say this is just a small bump in the road and the European currency has further to climb.

At 6.10pm(GMT) the Euro was trading at $1.0873 down from $1.0925 in yesterday’s trading.

After Sundays French election result, the Eurozone is in a state of calm after the threat of a Eurosceptic coming to power subsided and raised speculation the European central Bank may start to tighten monetary policy.

ECB President Mario Draghi is to give a speech later in the week where analysts are predicting that the tone of the talk will be more bullish than expected earlier.

"He is expected to give more details about the Quantitative Easing (QE) exit plans at the June meeting, six months earlier than previously anticipated," says Ipek Ozkardeskaya at London Capital Group. "In this respect, Draghi is expected to adopt his language at the communiqué as early as this week."

Also, up until recently, it had been expected that the ECB would lower rates even further to boost the economy but that now seems like a long shot,

“The ECB may remove reference to the possibility of ‘lower’ rates,” is the message from Gajan Mahadevan, a Quantitative Strategist at Lloyds Bank.


Source link  
Gold awaits US employment data

The gold price is under further pressure today after being hammered over the last week and as we mentioned yesterday, any sustained break down...

Gold ready for breakout to the upside

The gold price has certainly behaved strangely this week, failing to react to news which would usually send the precious metal considerably higher...

Pound set to rally

The British pound continues to rise today against its US counterpart after rumors surfaced yesterday that the UK has reached a settlement to leave the European union...


Gold awaits news on tax reform

The gold price is making another run for the $1,300 mark in today’s trading session on the back of US dollar weakness and as the market...

Gold takes a breather, comeback predicted

The gold price has drifted slightly lower for the 2nd day in a row on the back of profit taking as the US as the US celebrates thanks giving...

Gold looks to tax reforms

The gold price is slightly lower in today’s European trading session although it is still hovering around 1 month highs as fears grow that US President...


Gold set to go higher

The gold price has moved significantly higher over the last 4 trading sessions on the back of US president Donald Trump’s trip to Asia as well as political turmoil for the president back home...

Euro set to weaken further

The Euro is under further pressure today against its US counterpart after suffering heavy losses on Friday on the back of strong data from the US...

Gold awaits next Fed chair

The gold price is heading for a 2nd day of gains as the market awaits US president Donald Trump’s choice for the next candidate to run the US Federal...

  


Share: