EUR/USD slumped today as Greece struggles to form a new (temporary) government for the third day, while Italy will likely also lose leadership and nobody can guarantee that the nation will avoid problems with forming a new government. The fundamental reports were largely positive for the dollar, driving the currency pair further down. Tomorrow some important reports are expected, among them trade balance and jobless claims. Tomorrow’s data is expected to be negative, but not too bad.
Wholesale inventories decrease 0.1 percent in September after increasing by the same rate in the month before. Median forecast was 0.5 percent. (Event A on the chart.)
US crude oil inventories decreased by 1.4 million barrels from the previous week and are in the upper limit of the average range for this time of year. Total motor gasoline inventories decreased by 2.1 million barrels last week and are in the middle limit of the average range. (Event B on the chart.)
On Monday, a report on consumer credit was released, showing an increase by $7.4 billion in September, showing an improvement after the decline by $9.7 billion in August. Forecasters estimated an increase of $5.1 billion before the report. (Not shown on the chart.)
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