Dismal US Housing Data Helps EUR/USD to Bounce

EUR/USD was falling today but reversed losses as of now after US housing data turned out to be rather negative. The currency pair advanced even as Federal Reserve officials continued to talk about an interest rate hike this year.
Personal income rose 0.3% in August, compared to the forecast of 0.4% and the July’s revised increase of 0.5% (0.4% before the revision). Personal spending was up 0.4%, the same as the previous month’s revised gain and a bit above the market expectations of 0.3%. (Event A on the chart.)
Pending home sales dropped 1.4% in August from July instead of rising 0.4% as had been predicted by analysts. The indicator inched up 0.5% in July. (Event B on the chart.)


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