The EURUSD pair was 0.3% weaker during the US session on Friday and was trading at around 1.1360 as traders sold the shared currency after weaker than expected inflation numbers.
The euro zone’s CPI inflation slipped to 2.0% year-on-year in November, down from 2.2% in October. This was broadly expected by economists, but the core inflation gauge slowed as well to 1.0% from 1.1% previously, while analysts had forecast this measure to stay unchanged at 1.1%.
Moreover, the unemployment rate also failed to meet expectations and came out at 8.1% against forecasts of a slight improvement to 8.0%.
Additionally, German retail sales surprised on the upside when they accelerated to 5.0% on the yearly basis, up from -2.8% previously.
Later in the day, the Federal Reserve Bank of New York President John Williams is due to participate in a panel discussion titled "The Global Economy: Addressing a Future Downturn" at the 80th Plenary Meeting of the Group of Thirty in New York. As John Williams is an FOMC voting member in 2018, his speech could spur some volatility on the financial markets.
The main support for the pair is now at 1.1340, where the broken bearish trend line is located. If broken, the euro could decline back to 1.13 and possibly lower.
On the upside, the resistance is at 1.14 and afterward near previous lows and highs at 1.1440.
Analysis and opinions provided herein are intended solely for informational and educational purposes and don't represent a recommendation or an investment advice by TeleTrade. Indiscriminate reliance on illustrative or informational materials may lead to losses.
© 2000-2020. All rights reserved.
This site is managed by Teletrade D.J. Limited 20599 IBC 2012 (First Floor, First St. Vincent Bank Ltd Building, James Street, Kingstown, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at email@example.com.