ECB: 17th annual review of the international role of the euro

Eren Sengezer FXStreet

The European Central Bank has recently published the 17th annual review of the international role of the euro, covering developments in 2017 and early 2018. Below are some key takeaways from the official press release.

In 2017 and early 2018, the strong and broad-based growth momentum in the euro area economy as well as the continued impact of the ECB’s asset purchase programme were among the main developments affecting the international role of the euro.
The international use of the euro showed signs of broad stabilisation.
Developments also reflected the strengthening of the euro exchange rate over the review period.
- Adjusting for exchange rate valuation effects, the share of the euro in global foreign exchange reserves decreased.
Some other persistent factors continued to weigh on the international role of the euro.
- One such factor is the increasing importance of emerging market economies as issuers of foreign currency debt since the global financial crisis.

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

AUD/USD climbs toward 0.7000 after strong China data dump

AUD/USD attracts follow-through buyers for the second straight day on Monday, extending last week's recovery toward 0.7000 in Monday's Asian trading. Strong Chniese Q3 GDP and activity data for September strengthen the pair's advance, following RBA Assistant Governor Chris Kent's hawkish remarks.

USD/JPY struggles near 158.00 amid hawkish BoJ, subdued USD

USD/JPY remains defensive near 158.00 in the Asian session on Monday, as the US Dollar remains depressed near a two-week low amid the recent decline in US bond yields. Furthermore, looming intervention risks underpin the Japanese Yen and weigh on the pair amid BoJ Governor Kazuo Ueda's hawkish remarks. However, Fed rate-hike bets and geopolitical uncertainties could limit USD losses and the major.

Gold: $4,200 remains a tough nut to crack for bulls

Gold is struggling to sustain the renewed uptick, remaining below $4,200 in Monday’s Asian trades. The bright metal is torn between dip-buying in the US Dollar and renewed geopolitical optimism, which has sent Oil prices southward.

Week ahead: Stocks seek direction as earnings take centre stage

It has been a challenging week for investors as the hotter US CPI report and the solid start to the earnings season did not produce the expected market movements. With the exception of the aussie, the US dollar is currently posting minimal gains across the FX spectrum, with its post-CPI rally proving short-lived, especially as dovish Fedspeak persists.

Bitcoin is holding above 80K but for how long?

The crypto market heads into the weekend with a cautious tone after a volatile week dominated by hot CPI and PPI prints, a visible shift in sentiment, and Bitcoin’s repeated battle with the 80K psychological support.

Everyone's dumping Gold after hot US inflation. Here's why $4,100 could be a floor, not a cliff

Gold (XAU/USD) is recovering from a sharp sell-off triggered by hotter-than-expected United States (US) inflation data released on Wednesday. The precious metal briefly plunged toward $4,073 as investors increased their bets on further Federal Reserve (Fed) interest rate hikes before recovering as US Treasury yields and the US Dollar (USD) reversed their initial gains.