Connect with us

Economics

Euro Rallies on Upbeat Sentiment and Mixed Euro Area Macro Prints

The euro today rallied against the dollar due to the positive investor sentiment, which saw risk assets rally despite the coronavirus situation in Europe. The EUR/USD currency pair’s rally was also boosted by the upbeat inflation reports from Spain and France despite other disappointing macro reports. The EUR/USD currency pair today rallied from a low of 1.1799 in the Asian session before rallying to a high of 1.1834 in the mid-European market and was near these […]

Share this article:

Published

on

This article was originally published by Forex News

The euro today rallied against the dollar due to the positive investor sentiment, which saw risk assets rally despite the coronavirus situation in Europe. The EUR/USD currency pair’s rally was also boosted by the upbeat inflation reports from Spain and France despite other disappointing macro reports.

The EUR/USD currency pair today rallied from a low of 1.1799 in the Asian session before rallying to a high of 1.1834 in the mid-European market and was near these highs at the time of writing.

The positive investor mood drove the currency pair’s initial rally, and the release of the mixed German wholesale price index for October did not stop its ascent. According to the Federal Statistical Office, Germany’s wholesale prices contracted 0.2%, translating to an annualised 1.9%. The release of France’s consumer price index by Insee helped the pair by staying flat instead of the expected 0.1%. The release of Spain’s inflation report for October, which came in at 0.5% also boosted the pair. The release of the disappointing eurozone Q3 GDP coincided with the pair’s top. According to Eurostat, the euro areas GDP expanded 12.6% missing expectations by 0.1%. 

The release of the mixed US producer price index by the Bureau of Labor Statistics had a muted impact on the pair. The disappointing University of Michigan US consumer sentiment survey pushed the pair to its previous highs.

The currency pair’s performance over the upcoming weekend is likely to be affected by US dollar dynamics.

The EUR/USD currency pair was trading at 1.1827 as at 18:52 GMT having rallied from a low os 1.1799. The EUR/JPY currency pair was trading at 123.76 having fallen from a high of 124.31.


© SimonMugo for Forex News, 2020. |
Permalink |
No comment |
Add to
del.icio.us

Post tags: , , , , , , , , , , ,

Feed enhanced by Better Feed from Ozh

us dollar
inflation

Share this article:

Economics

Meloni’s Right-Wing Alliance Wins Clear Majority In Italian Elections

Meloni’s Right-Wing Alliance Wins Clear Majority In Italian Elections

Europe’s unelected authoritarian ruler, Ursula von der Leyen, is not…

Share this article:

Continue Reading
Economics

Recession vs Inflation: Why the Fed is making a monster to fight a monster

Just as Friedrich Nietzsche warned us not to – the Fed’s plan is to engineer a recession in order to … Read More
The post Recession vs Inflation: Why…

Share this article:

Continue Reading
Economics

Dow Jones, the S&P 500, and Nasdaq forecast after another 75bp rate hike

Wall Street’s three main indexes remain under pressure after the U.S. Federal Reserve decided to lift interest rates by 0.75 basis points on Wednesday…

Share this article:

Continue Reading

Trending