Euro Rises Despite Weak Eurozone Trade Data
18 November, 2013
The euro is trading higher against the dollar today, and extended gains in the European session despite disappointing Eurozone trade data which showed the current account declined in October. The surplus shrunk to 13.7 billion euros, compared to 17.4 billion in the previous data release.
The euro managed to shrug off the data and edged higher to trade in the low $1.35 range, hitting a session high of $1.3517. Since Friday, the euro has gained 0.4 percent against the US dollar.
Bigger gains in the euro may be limited due to signs of a trouble in the Eurozone economic recovery, especially after data last week showed the region is marred by low inflation.
For now the euro is being buoyed by a weaker dollar, which was weighed down by Friday’s weak US data. The Empire State Manufacturing Index slumped to a ten-month low. Also Janet Yellen’s support of quantitative easing, meaning a delay for Fed tapering, is also weighing on the dollar.
The dollar’s rally against the yen last week led to a breach of the key 100 yen level, around which the USDJPY has been hovering today. A continuation of the rally has lost steam due to the broadly weaker dollar today. The pair fell to a session low of 99.77 before climbing back to the key 100 yen level where it has found support.
There are no major releases of US data later today, so a quiet US session is expected.
In other currencies, the British pound moved higher against the dollar early in the session to peak at a fresh new two-week high of $1.6147 before easing back on profit-taking.
Aussie hit a new one-week high of $0.9417 early in the European session.
Source link
Related materials
The Asian session was calm as the economic calendar was light and most investors were positioning ahead of key risk events later this week, primarily the US nonfarm payrolls report on Friday...
The first full trading week of 2014 began today, with Japan opening for the first time after a two-week holiday...
The pair extended the positive trading, whereas it approached 61.8% correction at 1.3625
The dollar rose above 102.00 yen for the first time since May 29, while the euro flirted with the key $1.36 handle and hit a new four-year high within striking distance of 139.00 yen...
The best performing currency during Thursday’s Asian session was the Australian dollar which jumped against its US counterpart after strong Australian business spending data. Private Capital Expenditure increased by 3.6% quarter-on-quarter despite expectations for a decline by 1.1%...
The main currency of the day was the sterling which outperformed against the dollar and euro, as well as against the yen after being boosted by strong UK second quarter growth data...
The euro was stronger today particularly against the dollar and the pound. While there were no economic data releases today from the Eurozone to explain the move, there were some headline news which affected sterling and dollar...
The yen was supported by safe haven demand today after the release of a slightly dovish Bank of Japan policy meeting minutes. The minute from last weeks meeting showed some concern about Japans economic outlook and whether the central bank 2% inflation target could be met...
The dollar remains bullish against the yen, while the euro hit a new four-year high against the Japanese currency in todays Asian session...
Top Brokers offering Forex Market Analysis
Forex Currencies Forecasts
| # | Broker | Review | |
|---|---|---|---|
| 1 |  | easyMarkets | 88% |
| 2 |  | FXTM | 85% |
| 3 |  | FxPro | 82% |
| 4 |  | FIBO Group | 77% |
| 5 |  | Fort Financial Services | 74% |
| 6 |  | HYCM | 72% |
| 7 |  | FXCM | 70% |
| 8 |  | XM | 68% |
| 9 |  | HotForex | 67% |
| 10 |  | 24option | 66% |
