EURUSD dropped yesterday and closed at 1.3396. The US dollar strengthened against the Euro after a better than expected advance GDP report from the United States. The Advance GDP for the second quarter of 2014 came out at 4.0 percent. Analysts had expected a rise to 3.1 percent. The US Fed upgraded its outlook for the economy in the United States noting the drop in the unemployment rate and hinting that the inflation is moving towards their target. On the other hand the policymakers at the Federal Reserve shared their concerns about the slack in the labor market. Data released yesterday also indicated that the personal consumption spending also rose in the second quarter of 2014. The ADP Non-Farm Employment Change release indicated that the US employers added less than the expected jobs coming at a reading of 218K.
Data released today indicated that the inflation in the Eurozone dropped on an annual basis to a level of 0.4 percent in July on its preliminary reading. The Unemployment Claims in the United States data also released today came out in line with the market expectations.
Investors are now awaiting the US Non-Farm Payrolls report due tomorrow.
Support for the EURUSD is seen at 1.3370 and resistance is seen at 1.3442.
Disclaimer: Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of purchase or sale of any financial instrument.
EURUSD trading lower after the US Unemployment Claims release
No comments:
Post a Comment