The euro continues to fall
01.10.2014
The main currency pair keeps its momentum in a downward slope. It is difficult to expect anything different - today's activity will be minimal before the meeting of the ECB.
The euro/dollar continues to fall. And this, in fact, is nothing new - all these movements were expected earlier but a recoilless fall was still surprising.
Yes, the States last night released completely unimpressive statistics, but who cares, if earlier the euro zone once again signed for its own weakness, publishing data on inflation in September. It’s a preliminary calculation, but usually the numbers do not differ from the final value of the consumer price index. Thus, the rate remained at 0.3% y/y in the previous month, and it emphasizes once again that the ECB incentives were taken with a huge delay.
To restart the economic system, strategic moves in several directions simultaneously are needed, and not isolated movements. And it should have been done a year ago. Based on the current realities, the efficiency of incentives, implemented by the European regulator is reduced by about 40%.
Inflation in the euro zone is now at 2009 levels. The longer the CPI will remain at these lower elevations, the harder it will be to deal with weak consumer spending.
Tonight the United States will present the first report on the labour market in September - a release on the number of jobs in the private sector from ADP. On Thursday, the ECB meeting will be held, and on Friday American reports on unemployment and NFP will come out.
RoboForex Analytical Department
The euro/dollar continues to fall. And this, in fact, is nothing new - all these movements were expected earlier but a recoilless fall was still surprising.
Yes, the States last night released completely unimpressive statistics, but who cares, if earlier the euro zone once again signed for its own weakness, publishing data on inflation in September. It’s a preliminary calculation, but usually the numbers do not differ from the final value of the consumer price index. Thus, the rate remained at 0.3% y/y in the previous month, and it emphasizes once again that the ECB incentives were taken with a huge delay.
To restart the economic system, strategic moves in several directions simultaneously are needed, and not isolated movements. And it should have been done a year ago. Based on the current realities, the efficiency of incentives, implemented by the European regulator is reduced by about 40%.
Inflation in the euro zone is now at 2009 levels. The longer the CPI will remain at these lower elevations, the harder it will be to deal with weak consumer spending.
Tonight the United States will present the first report on the labour market in September - a release on the number of jobs in the private sector from ADP. On Thursday, the ECB meeting will be held, and on Friday American reports on unemployment and NFP will come out.
RoboForex Analytical Department
Attention!
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.