The Euro is falling
02.09.2015
On Wednesday afternoon, the main currency pair is back to falling as investors barely react to the American statistics on employment.
The Euro is falling against the US dollar and right now is trading near 1.1259. The beginning of the month brings new statistics, as usual. The market is reluctant to assess it, as though accumulating strengths before really important news.
According to the data provided by EUROSTAT today, the prices of manufacturers in July in the euro zone reduced by 0.1% m/m (-2.1% y/y), in European Union – by 0.2% m/m (-2.7% y/y). Earlier it was thought that this number would remain at the same level -0.1%. Judging by the report, the most pressure is felt in the energy industry. The most consistent area is the durable goods.
Today, the USA released the first package of data on the employment market in August. According to ADP, the number of private sector jobs has increased by 190 thousand against the predicted 201 thousand and the previous number of 177 thousand. The most consistent is the service sector – probably because of the seasonal factor. The worst situation is the production of commodities.
The better the data on the employment market will be, the more reasons the Federal Reserve will have to increase the interest rate in September. This Friday, several important reports will be released, including Non-Farm Payrolls and the unemployment rate. The market is expected to become more volatile before these reports. The next important event is the meeting of the US Federal Reserve System in the middle of September.
However, this week the Euro may try to find support: the pair might grow if the meeting of the European Central Bank this Thursday gives investors any information and facts about the effectiveness of QE.
RoboForex Analytical Department
The Euro is falling against the US dollar and right now is trading near 1.1259. The beginning of the month brings new statistics, as usual. The market is reluctant to assess it, as though accumulating strengths before really important news.
According to the data provided by EUROSTAT today, the prices of manufacturers in July in the euro zone reduced by 0.1% m/m (-2.1% y/y), in European Union – by 0.2% m/m (-2.7% y/y). Earlier it was thought that this number would remain at the same level -0.1%. Judging by the report, the most pressure is felt in the energy industry. The most consistent area is the durable goods.
Today, the USA released the first package of data on the employment market in August. According to ADP, the number of private sector jobs has increased by 190 thousand against the predicted 201 thousand and the previous number of 177 thousand. The most consistent is the service sector – probably because of the seasonal factor. The worst situation is the production of commodities.
The better the data on the employment market will be, the more reasons the Federal Reserve will have to increase the interest rate in September. This Friday, several important reports will be released, including Non-Farm Payrolls and the unemployment rate. The market is expected to become more volatile before these reports. The next important event is the meeting of the US Federal Reserve System in the middle of September.
However, this week the Euro may try to find support: the pair might grow if the meeting of the European Central Bank this Thursday gives investors any information and facts about the effectiveness of QE.
RoboForex Analytical Department
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Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex bears no responsibility for trading results based on trading recommendations described in these analytical reviews.