Euro Rallies Higher on Upbeat Mood Despite Mixed Euro Area Data
TheÂ euro rallied against theÂ dollar boosted byÂ some positive releases from theÂ euro area, while some negative macro reports limited theÂ single currency’s gains. TheÂ EUR/USD currency pair also benefitted from theÂ drop inÂ US 10-year Treasury yields asÂ investors wait forÂ President Joe Biden’s infrastructure spending plans.
TheÂ EUR/USD currency pair rose from aÂ low ofÂ 1.1704 inÂ theÂ Asian session toÂ aÂ high ofÂ 1.1759 inÂ theÂ American market but was off these highs atÂ theÂ time ofÂ writing.
TheÂ currency pair fell initially before reversing course andÂ heading higher despite theÂ disappointing German employment change report‘s release. According to the Federal Statistical Office, Germany shed 26,000 jobs inÂ February asÂ compared toÂ January. TheÂ disappointing French consumer price index report forÂ March released byÂ Insee has aÂ minimal impact onÂ theÂ pair. TheÂ downbeat Italian inflation data forÂ March released byÂ Istat could not stop theÂ pair’s rally. TheÂ mixed eurozone CPI report forÂ March had aÂ muted impact onÂ theÂ euro. According toÂ Eurostat, core inflation was lower than expected while headline inflation figures met analysts expectations.
TheÂ pair hit its daily highs during theÂ American session after theÂ disappointing ADP US Employment change report showed that theÂ US added 517,000 jobs versus theÂ expected 550,000 jobs. AsÂ tracked byÂ theÂ US Dollar Index, theÂ greenback’s overall weakness also drove theÂ pair higher.
TheÂ currency pair’s short-term performance is likely toÂ be affected byÂ President Joe Biden’s speech scheduled forÂ 20:20 GMT.
TheÂ EUR/USD currency pair was trading atÂ 1.1727 atÂ 19:26 GMT after dropping from aÂ high ofÂ 1.1759. TheÂ EUR/JPY currency pair was trading atÂ 129.84, having risen from aÂ low ofÂ 129.25.
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Original from: www.earnforex.com
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