EUR/USD Rises, Uninfluenced by the Major Fundamentals

The dollar declined against the euro today mainly due to increased optimism of the market participants. The EUR/USD currency pair rose during the the first half of the trading sessions, along with the Asian and European stock markets. Some USD-positive important macroeconomic releases came almost unnoticed by the FX market today.
US GDP increased at the annual rate of 1.3% during the second quarter of 2011 according to the third estimate report released today. According to the second estimate report, the growth was only 1.0%. Traders expected an increase of 1.2%. (Event A on the chart.)
Initial jobless claims fell from 428k to to 391k last week. A decline to 420k was expected. (Event A on the chart.)
Pending home sales decreased by 1.2% in August, following 1.3% decline in July. That’s still better than 2.1% drop forecast for this indicator. (Event B on the chart.)


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