Intra-Day Market Moving News and Views
25 Jul 2014 08:20GMT
EUR/USD - .. Ifo economist Wohlrabe said, quote:
'scale of drop in climate index surprising but wouldn't call it a change in trend;
geopolitical tensions come at same time as slowdown fm very good Q1 for German business;
German domestic business climate still strg but export expectations at lowest lvl in more than a year;
influence of Ukraine n mid-east conflicts cannot be measured in concrete terms;
expects German economic growth for 2014 to be as forecast at 2.0% or perhaps slightly higher.'
The single currency fell to intra-day low of 1.3443 after German Ifo Jul business sentiment index unexpectedly dropped to 108.0, forecast was 109.4.
However, talk of bids at 1.3440-30 n more below has contained weakness, so minor range trading abv y'day's fresh 8-month trough at 1.3438 is likely. Offers have been lowered to 1.3455/65 n more are tipped at 1.3475/85, suggesting selling euro on recovery is the way to go.
Earlier on, Euro maintains a steady posture at European opening n has shown muted reaction to the release of slightly better-than-expected German GfK consumer confidence.
The German consumer morale index climbed to its highest level in over 7 years. Aug reading came in at 9.0 vs forecast of 8.9 (prev. reading was 8.9).
As mentioned in previous update, market is awaiting release of the important German Ifo business climate index later at 08:00GMT where street forecast for Jul reading is 109.4 vs prev. reading of 109.7. If actual comes in lower than expectation, expect another round of euro bashing but if it is sharply higher, then be prepared for more broad-based short-covering in euro vs usd, yen & gbp.
25 Jul 2014 08:20GMT
EUR/USD - .. Ifo economist Wohlrabe said, quote:
'scale of drop in climate index surprising but wouldn't call it a change in trend;
geopolitical tensions come at same time as slowdown fm very good Q1 for German business;
German domestic business climate still strg but export expectations at lowest lvl in more than a year;
influence of Ukraine n mid-east conflicts cannot be measured in concrete terms;
expects German economic growth for 2014 to be as forecast at 2.0% or perhaps slightly higher.'
The single currency fell to intra-day low of 1.3443 after German Ifo Jul business sentiment index unexpectedly dropped to 108.0, forecast was 109.4.
However, talk of bids at 1.3440-30 n more below has contained weakness, so minor range trading abv y'day's fresh 8-month trough at 1.3438 is likely. Offers have been lowered to 1.3455/65 n more are tipped at 1.3475/85, suggesting selling euro on recovery is the way to go.
Earlier on, Euro maintains a steady posture at European opening n has shown muted reaction to the release of slightly better-than-expected German GfK consumer confidence.
The German consumer morale index climbed to its highest level in over 7 years. Aug reading came in at 9.0 vs forecast of 8.9 (prev. reading was 8.9).
As mentioned in previous update, market is awaiting release of the important German Ifo business climate index later at 08:00GMT where street forecast for Jul reading is 109.4 vs prev. reading of 109.7. If actual comes in lower than expectation, expect another round of euro bashing but if it is sharply higher, then be prepared for more broad-based short-covering in euro vs usd, yen & gbp.
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