On Tuesday, the euro recorded around $ 1,2170 in a temporarily quiet trading week with the emphasis on Thursday, when the European Central Bank issued a new interest rate decision.
“The euro can move when the policy body ends its expectations for economic growth or inflation,” said currency trader Dirk Croonen of currency smoker Ebury on Tuesday to ABM Financial News. “If these estimates are set forward, the euro can continue its recovery against the dollar”, says Croonen.
Last Wednesday, the euro came under pressure against the dollar following exemplary growth from the US private labour market, while the employment rate for the entire US labour market in May, which was published on Friday, forced the dollar to re-price some ground.
“US Treasury Secretary Janet Yellen already calmed down inflation earlier this week by saying in an interview that inflation will level off again next year”, Croonen said.
Japan’s economy contracted 3.9 percent year-on-year in a second measurement, compared to 5.1 percent in a first reading.
Germany’s industrial production in April fell 1.0 percent where a style was provided of 0.4 percent.
Growth in the euro area economy declined by 0.3 per cent on a quarterly basis in the first quarter. An initial estimate found it still at a decline of 0.6 percent on a quarterly basis.
The German ZEW index unexpectedly dropped from 84.4 to 79.8.
This afternoon, in the United States, entrepreneurship in small businesses and the trade balance will come out.
The euro was down 0.2 percent on $ 1.2170 on Tuesday. The European currency recorded 0.1 percent higher at 0.8605 British pounds. The British pound fell by 0.3 percent on Tuesday and stood at 1.4144 dollars. The dollar was stable at 6,3966 Chinese yuan. Today, the dollar rose 0.2 percent and recorded at 109.5185 yen.