Fundamental Analysis – Page 45

May 1
2017

EUR/USD Trades in Range During Monday’s Thin Trading

EUR/USD slipped on Monday but bounced by now. Monday’s trading volumes were light as many markets were closed for a holiday. That explains markets’ muted reaction to reports from the United States, which were pretty bad for the most part. Personal income and spending missed market expectations in March. Income rose 0.2% instead of 0.4% predicted by analysts. Spending showed no change while forecasters promised an increase by 0.2%. Furthermore, […]

April 28
2017

EUR/USD Trims Gains Despite Slow US Economic Growth

EUR/USD rallied today following the release of data that showed a surge of eurozone inflation this month. (Event A on the chart.) The currency has trimmed its gains by now despite a report showed that US economic growth slowed last quarter more than was expected. US GDP rose 0.7% in Q1 2016 according to the advance estimate, demonstrating the slowest rate of growth in three years. That is compared to the median forecast […]

April 27
2017

EUR/USD Drops After ECB Makes No Changes to Monetary Policy

EUR/USD dropped today after the European Central Bank made no changes to its ultra-loose monetary policy, in line with market expectations. ECB President Mario Draghi was optimistic about eurozone economic growth, but voiced concerns about inflation. Answering to questions during the press-conference, he said that it is too early to discuss an exit strategy for the quantitative easing program. Overall, Draghi sounded a bit more […]

April 25
2017

EUR/USD Reaches Highest Since September Following French Elections

EUR/USD gained today, touching the highest level since November. The reason for the rally was the French Presidential election over the weekend. The voting resulted in markets-favoredpro-euro centrist candidate Emmanuel Macron going to the second round with the biggest number of votes. Today’s economic data from the United States was fairly decent, with the very strong figures coming from the housing market, but the worse-than-expected consumer confidence. S&P/Case-Shiller home price index […]

April 21
2017

US Existing Home Sales Pace Highest Since 2007, EUR/USD Falls

EUR/USD dropped today as US existing home sales pace reached the highest level in more than a decade. Markit PMIs were disappointing, but that did not help the currency pair very much. The euro was also under pressure from this weekend’s French elections and yesterday’s terrorist attack. Markit services PMI slid from 52.8 in March to 52.5 in April instead of rising to 53.7 as analysts had predicted. […]

April 20
2017

EUR/USD Rises as Eurozone Consumer Confidence Improves

EUR/USD rose today, bouncing after yesterday’s small drop. One of the reasons for the rally was the improving consumer confidence, which now stands at the highest level since 2007. (Event B on the chart.) French election polls were also helping the currency pair, showing that markets-favoredEmmanuel Macron has a lead. Meanwhile, US economic data was mixed, not helping the dollar. Philadelphia Fed manufacturing index slid from 32.8 […]

April 18
2017

EUR/USD Rallies as US Economic Data Misses Expectations

EUR/USD rallied today as US macroeconomic reports failed to meet expectations. Not all of them were bad, but that did not prevent the currency pair from rising. Housing starts were at the seasonally adjusted annual rate of 1.22 million in March. That is below the medium forecast of 1.25 million and the previous month’s rate of 1.30 million. Building permits were at the seasonally adjusted annual rate of 1.26 million, close […]

April 14
2017

EUR/USD Trades Tad Higher After Weak US CPI & Retail Sales

Today’s trading was slow and volumes low due to Good Friday observed in many parts of the world. The holiday did not prevent release of several important economic reports today, including US CPI and retail sales. They turned out to be surprisingly poor, sending EUR/USD higher, though the rally was small due to holiday trading, and the currency pair has trimmed its gains by now. CPI dropped 0.3% in March […]

April 13
2017

EUR/USD Backs Off After Wednesday’s Rally

EUR/USD retreated following yesterday’s rally caused by comments of US President Donald Trump about dollar’s strength. Analysts said that markets overreacted as the comments did not contradict Trump’s previous stance, giving no really new information, and it is doubtful that the President has the power to influence the exchange rate. As for US economic data today, it was very mixed, with falling PPI, stable jobless claims, […]

April 12
2017

EUR/USD Surges After Trump Says Dollar Too Strong

EUR/USD surged during Wednesday’s late trading after US President Donald Trump said that the dollar is too strong. Today’s economic data from the United States was not particularly impressive, giving no support to the greenback. US import prices fell by 0.2% in March (close to the forecasts of a 0.3% drop) while export prices increased by the same rate. Import prices were up 0.4% in February (revised from […]