The Euro remains under pressure Overview for 30.08.2016
30.08.2016
The main currency is still being sold after a nominal pause last night.
The EUR/USD pair returns to the “bears’ side” on an incredibly regular basis, influenced by either investors’ growing demand for the US Dollar or published statistics. The current quote for the main currency pair is 1.1166.
The statistics published today showed that the economic sentiment index in the Eurozone in August went down significantly. The report indicated the decrease up to 103.5 points from the previous number of 104.5 points and against the expected number of 104.1 points. The components of the report contain quite contradictive numbers. For example, in August sentiments in the industrial sector dropped a lot and right now the number is -4.4 points against the July number of -2.6 points. The total order portfolio of the sector is the weakest since winter of 2009. Consumer sentiments are not too impressive as well. The indicator fell up to -8.5 points this month against -7.9 points in the month before. Retail sales sector also weakened: up to 10 points against 11.2 points in July.
The statistics seems rather interesting. For example, the service industry usually gets weaker when the demand for such services reduces, i.e. during the tourist season, vacations, and holidays. It means that Europeans are not impressed by the ECB’s stimulus measures if they are not ready to spend money.
However that may be, another questionable report hasn’t made the Euro more attractive. Investors’ demand is in favor of the US Dollar, and the closer the September meeting of the Fed, the more clearly it can be seen.
RoboForex Analytical Department
The EUR/USD pair returns to the “bears’ side” on an incredibly regular basis, influenced by either investors’ growing demand for the US Dollar or published statistics. The current quote for the main currency pair is 1.1166.
The statistics published today showed that the economic sentiment index in the Eurozone in August went down significantly. The report indicated the decrease up to 103.5 points from the previous number of 104.5 points and against the expected number of 104.1 points. The components of the report contain quite contradictive numbers. For example, in August sentiments in the industrial sector dropped a lot and right now the number is -4.4 points against the July number of -2.6 points. The total order portfolio of the sector is the weakest since winter of 2009. Consumer sentiments are not too impressive as well. The indicator fell up to -8.5 points this month against -7.9 points in the month before. Retail sales sector also weakened: up to 10 points against 11.2 points in July.
The statistics seems rather interesting. For example, the service industry usually gets weaker when the demand for such services reduces, i.e. during the tourist season, vacations, and holidays. It means that Europeans are not impressed by the ECB’s stimulus measures if they are not ready to spend money.
However that may be, another questionable report hasn’t made the Euro more attractive. Investors’ demand is in favor of the US Dollar, and the closer the September meeting of the Fed, the more clearly it can be seen.
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.