The euro today headed lower against the US dollar in the early European session before posting slight gains after the release of in-line eurozone Q4 GDP data. The EUR/USD currency pair later spiked higher following the release of disappointing US retail sales data for December.
The EUR/USD currency pair today fell to a low of 1.1249 before recovering later and spiking to a high of 1.1309 and then retracing most of its gains.
The currency pair opened today’s session with a bullish bias triggered by the risk-on market sentiment. The pair headed lower in the early European session following the release of disappointing German Q4 GDP data by the country’s Federal Statistical Office. According to the report, GDP remained flat in Q4 missing expectations of 0.1% growth with the annualized prints showing mixed results. The pair rallied higher shortly after the release of in-line eurozone Q4 GDP data by Eurostat, which came in at 0.2% translating into an annualized 1.2%, as was expected. The eurozone Q4 GDP data released at the same time also met expectations set at 0.3% translating into an annualized 1.2%.
The pair later spiked higher after the release of weak US advance retail sales data by the Census Bureau in the early American session. The mixed US PPI data released at the same time also contributed to the rally.
The pair’s future performance is likely to be influenced by the ongoing US-China trade talks and tomorrow’s multiple releases from the US docket.
The EUR/USD currency pair was trading at 1.1282 as at 17:02 GMT having fallen from a high of 1.1309. The EUR/JPY currency pair was trading at 124.86 having dropped from a high of 125.46.
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