GBP suffers again from Brexit

By GG Analyst in Reviews 0 Comment

EURUSD

Yesterday the pair got the blow as a result of the terrorist attack and obviously low economic indices. In spite of the fact that Ifo indicator was better than expected and reached 106.7 level, its movement looks more like rebound from the last month lows rather than real trend turn. Meanwhile, German Manufacturing PMI decreased from 50.5 to 50.4 and could not reach the forecasted of 50.9. The same French index has fallen below 50 for the first time since last August, appearing now at 49.6 though predicted level was 50.2. Economic sentiment as well could not show investors delight more…

Euro declines without news

By GG Analyst in Reviews 0 Comment

EURUSD

As before Federal Reserve’s announcement about interest rate, pair EURUSD slowly declines without news releases. The reason is the demand growth for risky assets that encourages borrowings in EUR which stands as a funding currency. Though, it’s important to realize that scope of Euro weakening is less than the two previous escalation impulses caused by ECB and FRS. To boost selling of common currency market participants, probably, willing to have more heavy reasons that will create bearish approach for euro. This is blocked by the confidence of the market that interest rate will reach the lowest boarder received as hints from more…

Clearer deflation in Europe

By GG Analyst in Reviews 0 Comment

EUR/USD

The EU inflation keeps slowing down. The most important news here came yesterday from Germany, which didn’t see any price growth in November after the decline by 0.3% a month before. Yet, the annual inflation rate dropped to 0.6%. Last time inflation was that low at the end of 2009 because of the economic meltdown and cut in consumer spending. Now the situation is a bit different. The unemployment level is the lowest since the time of Germany’s reunification, as was shown in the employment report for November. Besides, it was messaged that the number of the unemployed had decreased again more…

Poor US stats push EURUSD above 1.25

By GG Analyst in Reviews 0 Comment

EUR/USD

The single currency continues its ascent due to USD’s retreat. The latter is under pressure since the economic statistics proved to be poorer than expected by market participants. Actually, it is a franker acknowledgement of the necessity to lock in profits in USD before the final phase of the year. After Thanksgiving Day the market is likely to get more speculative and nervous. It can be vulnerable to sharp upsurges (the Pre-New Year rally) and dips (correction before the end of the year). But since in the preceding months we have seen impressive growth of the US currency and assets, correction more…

Sentiments causing a pullback

By GG Analyst in Reviews 0 Comment

EUR/USD

The market’s unwillingness (or inability) to continue purchases of USD is so strong that it contradicts the current macroeconomic background and forces market participants to look for any chance to lock in the profits. Thus, yesterday’s revised statistics on GDP in the third quarter proved to be surprisingly strong. The annualized growth made 3.9% against the preceding rate of 3.5% and the expected downward revision to 3.3%. The growth rate against 3Q of the previous year totaled 2.4%, which speaks about quite an impressive economic growth. Also, it should be noted that the Personal Consumption Index also rose by 2.2%. Earlier more…