Euro Falls Against US Dollar on Mixed German Gfk and IFO Data

The euro today fell against its US peer following the release of mixed German IFO survey data early in the European session. The EUR/USD currency pair fell from its daily highs shortly after the announcements in a risk-off market environment weighed down by Brexit and trade worries.
The EUR/USD currency pair today fell from a daily high of 1.1123 in the early European session to a low of 1.1086 and was headed lower at the time of writing.
The currency pair traded sideways at the start of today’s session before heading higher as the European session approached. The pair’s rally lacked conviction as concerns about the eurozone’s economic outlook raised by outgoing ECB President Mario Draghi dampened investor sentiment. The release of the German Gfk consumer confidence survey for October, which came in at 9.6 versus the expected 9.8 print held the pair back slightly, but not enough to stop its rally. However, the release of the mixed German IFO business climate index for October two hours later finally led the pair to top out and reverse. Germany’s business climate remained stable at 95.6 versus the expected 0.1% decline, while the current assessment print was recorded at 97.8 missing consensus estimates set at 98.0.
The currency pair kept falling despite the release of the downbeat University of Michigan consumer sentiment survey, which missed expectations. The gains made by the US Dollar Index, which hit a high of 97.86, also contributed to the pair’s decline.
The currency pair’s performance over the upcoming weekend is likely to be influenced by geopolitical events.
The EUR/USD currency pair was trading at 1.1077 as at 16:15 GMT having fallen from a high of 1.1123. The EUR/JPY currency pair was trading at 120.47 having dropped from a high of 120.80.

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