EUR/USD Fails to Break Through Resistance on Global Trade Decline

The dollar was losing strongly during the early trading session today but failed to fall past its support and euro’s resistance level located near 1.3720, as the U.S. reported decline in its global trade and traders shunned the high-yielding assets. EUR/USD is now trading near 1.3622.
U.S. trade balance report for March showed an increase from $26.1 billion to $27.6 billion deficit today as the exports fell faster than the imports in U.S. The average forecasts pointed at about $29 billion deficit report.
Treasury budget report for April revealed $20.9 billion deficit, which followed $191.6 billion deficit in March (revised negatively from $159.3 billion). The budget deficit came out to be quite the same as the market participants expected.

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