The euro today fell against the US dollar following the release of disappointing German factory orders data in the early European session. The EUR/USD currency pair later rallied as the US dollar fell on fears that the Fed would announce more aggressive easing methods at its next meeting.
The EUR/USD currency pair today fell to a low of 1.0962 in the early European session before rallying to a high of 1.1000 then dropping back as it failed to break above this critical level.
The currency pair attempted to rally at the start of today’s session but quickly fell driven by weak investor sentiment. The pair fell to its daily lows shortly after the release of Germany’s factory orders for August, which missed expectations. The Federal Statistical Office reported that Germany’s factory orders fell 0.6% in August as compared to the expected 0.4% decline. The annualised print came in at -6.7% versus the expected -6.6% print. The release of the eurozone Sentix investor confidence print for October also contributed to the pair’s decline as the print came in at -16.8 versus the consensus estimate of -13.
The fiber rallied higher as investors reacted to the prospect of the ongoing US-China talks being unsuccessful and giving no relief to global equity markets. The pair later fell back as investors displayed a lack of confidence in the eurozone given the weak data released from the region lately.
The EUR/USD currency pair was trading at 1.0979 as at 17:27 GMT having fallen from a high of 1.1000. The EUR/JPY currency pair was trading at 117.63 having risen from a low of 117.13.
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