Analysis EUR/USD. The Euro is back to its five months lows

jy-l4After a short rebound, the main currency pair is under pressure from “bears” once again.

On Friday afternoon, EURUSD is trying to remain stable, although investors were selling the pair during the first half of today’s trading session. The current quote for the instrument is 1.1723; today’s low was at 1.1683.

There were few numbers from the Euro Area today. Germany reported on the Ifo Business Climate in May, which increased just a bit up to 102.2 points after being 102.1 points in the previous month and against the expected reading of 102.0 points. Investors barely responded to this report.

The USD was retreating a little bit yesterday and the reason was the statistic as well. The weekly Unemployment Claims report showed 234K (+11K) against the expected reading of 220K. Still, even considering this growth, the indicator has been close to its multiyear lows. However, it has been increasing for the second consecutive week.

On the other hand, numbers from the real estate sector really disappointed. The Existing Home Sales in April was only 5.46M after being 5.60M in March. Expectations implied some decline, but not as significant as was revealed. It’s quite interesting that before that the indicator had been growing for two quarters in a row.

This evening, investors’ attention may be focused on the Durable Goods Orders in April and the speech of Jerome Powell, the Chairman of the US Federal Reserve. He doesn’t deliver speeches very often, that’s why investors believe that he might tell them something important.

Orgin: RoboForex

Leave a Reply