The euro today fell against the US dollar following mixed releases from Germany led by the weak import price index data among others. The EUR/USD currency pair gave up yesterday’s gains that were triggered by positive investor sentiment towards the single currency based on hopes for a Brexit deal.
The EUR/USD currency pair today dropped from a high of 1.1717 in the early European session to a low of 1.1657 in the American session.
The currency pair headed lower at the start of today’s session as market sentiment shifted against the single currency. The release of the German import price index by the Federal Statistical Office earlier today had a slightly positive impact on the currency pair despite the print missing expectations. The German unemployment data released shortly thereafter had a muted impact on the pair despite meeting expectations. German unemployment declined by 8,000, while the jobless claims rate came in at 5.2%. The German consumer price index data also met expectations by coming in at a monthly 0.1% and an annualized 2.0%.
Other releases such as the eurozone business climate indicator released by the European Commission, which came in below expectations at 1.22 also contributed to the pair’s decline. Several releases from the US docket such as the personal consumption expenditure report released by the Bureau of Economic Analysis also drove the pair lower.
The currency pair’s future performance is likely to be affected by market sentiment and tomorrow’s eurozone CPI data and US University of Michigan consumer confidence survey.
The EUR/USD currency pair was trading at 1.1661 as at 14:11 GMT having dropped from a high of 1.1717. The EUR/JPY currency pair was trading at 129.79 having declined from a high of 130.86.
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