The euro today rallied higher against the US dollar from the late Asian session into the early European session following positive releases from across the Eurozone. Releases from the US docket in the early American session triggered a slight pullback in the EUR/USD currency pair.
The EUR/USD currency pair today rallied from an initial low of 1.1700 to a high of 1.1745 before retracing some of its gains.
The release of the German retail sales for June by the Federal Statistical Office in the early European session contributed to the pair’s rally. The retail sales came in at a monthly 1.2% beating expectations by 0.2%, while the annualized figure came in at 3.0% versus the consensus estimate of 1.5%. The German unemployment change report beat expectations by recording 6,000 jobs versus the expected 10,000 jobs, while jobless claims were in line with expectations at 5.2%. The Eurozone unemployment rate for June released by Eurostat was in line with expectations at 8.3%. The Eurozone CPI data came in at a monthly 1.1% and an annualized 2.1%; both prints beat expectations by 0.1%.
The Eurozone Q2 GDP data also released today missed expectations by coming in at a quarterly 0.3% and an annualized 2.1% dragging the pair lower. The release of the US personal income and spending report by the Bureau of Economic Analysis contributed to the pair’s decline despite the disappointing core PCE print.
The currency pair’s short-term performance is likely to be affected by the release of the US consumer confidence index later today.
The EUR/USD currency pair was trading at 1.1726 a sat 13:26 GMT having dropped from a high of 1.1745. The EUR/JPY currency pair was trading at 131.03 having risen from a low of 129.69.
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