The EUR/USD currency pair today traded lower following the release of the German GfK consumer confidence survey retracing all the gains made in the Asian session. The currency pair posted more losses after the release of the US Q4 GDP data in the early American session and was on track to book a second consecutive losing session.
The EUR/USD currency traded in a 56-point range between a high of 1.2242 and a low of 1.2186.
The currency pair rallied higher during the Asian session but declined in the early European session after the release of the German GfK consumer confidence report. The release of the positive French Q4 GDP data could not reverse the pair’s downtrend. The French GDP print came in at 2.5% on an annualized basis beating market expectations pegged at 2.4%. The release of the positive German employment change report for January by the Federal Statistical Office triggered a brief recovery by the pair. The release of the Eurozone inflation data for February by Eurostat, which met expectations, had a muted impact on the currency pair.
The release of the US Q4 GDP data by the Bureau of Economic Analysis also contributed to the pair’s decline in the early American session. The release of the ISM-Chicago Business Barometer and the pending home sales data also contributed to the pair’s decline.
The currency pair’s future performance is likely to be affected by tomorrow’s Eurozone Markit and employment data as well as the US PCE report.
The EUR/USD currency pair was trading at 1.2210 as at 17:38 GMT having slightly recovered from a low of 1.2186. The EUR/JPY currency pair was trading at 130.24 having dropped from a high of 131.51.
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