EUR is under unfairly strong pressure of the market

By GG Analyst in Reviews 0 Comment

EUR/USD

It cannot escape your notice that the market puts too much pressure on the single currency, even despite the news. Yesterday’s GDP statistics for Europe proved to be more than pleasant. France, with its growth by 0.5% in 2Q against the expected 0.1%, impressed a lot. Germany demonstrated an even stronger growth, but its 0.7% q/q proved to be closer to the forecasted 0.6%, and therefore aroused little surprise in the market. We can be glad for Portugal, whose economy grew by 1.1%, albeit this growth had been preceded by ten quarters of decline. With such favourable growth rates in particular more…

USD is falling in the news vacuum

By GG Analyst in Reviews 0 Comment

EUR/USD

Though with certain hesitations the single currency continued to move up yesterday. To be more exact, the US dollar continued its retracement. EURUSD in the heat of the US session rose above 1.3170 and even managed to hit a new high since July 11, however it wasn’t followed by an upward move. To some extent, it is connected with low trading activity in the absence of important macroeconomic news yesterday. Looking back at yesterday’s statistics, Existing Home Sales deserve attention. Against expectations, this indicator shrank to 5.07bln in June (at the seasonally adjusted annual rate), while it had been forecasted that more…

These mysterious central bankers

By GG Analyst in Reviews 0 Comment

EUR/USD

Greenspan once said: “I guess I should warn you, if I turn out to be particularly clear, you’ve probably misunderstood what I said”. Despite all strenuous efforts of modern central bankers to develop targeting and establish communication with the markets, the results are still very similar to those at the time of Greenspan. Last month the markets reacted as though the Fed’s head had made a U-turn in his policy during the last three conferences. His yesterday’s comments to the Congress supported the single currency for a while as they said about the Fed’s flexibility in using macroeconomic indicators in the more…

RBA hints that AUD is low enough

By GG Analyst in Reviews 0 Comment

EUR/USD

EUR/USD is trying to break above the channel, where it has been consolidating in the recent days. Now the bulls are striving to reach 1.31. But it seems that the fate of these attempts will be decided by the German ZEW. If it goes far beyond the forecasted rates, the scales will be tipped in favour of the euro. Yet, it should be mentioned that already now this indicator is at quite favourable levels. In the evening the markets can be also affected by the US inflation statistics, but these data have been pushed to the sidelines,  since the Fed relies more…

Getting off the bottom?

By GG Analyst in Reviews 0 Comment

EUR/USD

Stock exchanges are not willing to retreat. Inspired by the Fed’s comments that the stimulus rollback in the near future is not a settled question, traders and investors have shifted their attention to the corporate reports. The recent statistics have been rather good since the expectations were not very high. The messages about good incomes from big corporations liven up the rally, which has already brought several closes at the record levels. Now we only have to wait for the renewal of the high hit on May 22 in S&P 500. Against such a background EURUSD feels better than a couple more…