USD suffered because of PMI

By GG Analyst in Reviews 0 Comment

EUR/USD

The US dollar suffered because of the poor statistics. First of all, Manufacturing PMI for May was significantly revised up. In Italy the index made 47.3 against 45.5 a month ago. In France it was raised from the same 45.5 to 46.4. In Germany – from 49.0 to 49.4. Manufacturing PMI for the euro zone totaled 48.3 against the first estimate of 47.8. Though the index is still below 50, reflecting a decline, it is possible to notice the general upward trend, lasting for about a year already. By contrast with it the market was surprised by a sharp plunge of more…

USD’s retracing at the beginning of an important week

By GG Analyst in Reviews 0 Comment

EUR/USD

We have again stepped into one of these eventful weeks at the beginning of the month, when all the three news causing highest volatility come one after another. On Wednesday we’ll try to make out from the commentary to the Committee’s meeting if there is any change in the Fed’s rhetoric.  On Thursday all eyes will be riveted on the ECB’s interest rate decision, where a cut to 0.5% is expected. Finally on Friday we will deal with payrolls. The market positioning before these events accounts for most market on the week’s opening. The dollar is losing its ground in Asia, more…

Sad payrolls

By GG Analyst in Reviews 0 Comment

EUR/USD

The published employment statistics showed that the warning signals of other indicators earlier last week had been absolutely correct. According to the latest labour market report  the number of jobs in the USA grew just by 88K against the expected 190K. In line with the recent correlations the US dollar was falling on the poor stats. The single currency went above 1.30 at some point, which had been last seen only on March 25. Now the euro is trading slightly below this level – at 1.2990. In the meantime, the US exchanges were in correction. Maybe it is too early to more…

The BOJ shifts goals

By GG Analyst in Reviews 0 Comment

EUR/USD

It’s a big day for the single currency today. Since Draghi took up the post as the ECB’s head the euro has become much more volatile during press-conferences after the bank’s meetings. It’s mainly due to the fact that Draghi actively employs non-traditional means to help the suffering economy of the eurozone instead of sticking to the formal approach of his predecessor Trichet, who generally strived to maintain inflation. Besides, Mr Draghi’s forecasts prove to be much more precise. For instance, he promises that the EU economy will turn to growth in the second half-year. Judging by the statistics, this acceleration more…

Double blow to EUR

By GG Analyst in Reviews 0 Comment

EUR/USD

The moderate buying of the single currency on Wednesday morning stumbled over the wave of sales. The growth momentum of the pair was halted at 1.3060. Roughly in the same zone there had been a reversal a day before , but this time the bears were prepared better. By the middle of trading in the USA the pair had fallen to 1.2922. There are two reasons for the bears to be that self-confident. First of all, the auctions were not a success – three of the four bonds of different maturity demonstrated a higher yield. In the meantime the yield of more…