News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.



Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View more
Real Time News
  • Consolidation or bull flag? A bull flag is a continuation pattern that occurs as a brief pause in the trend following a strong price move higher. Learn how to better spot these formations here:
  • RT @KyleR_IG: Certainly a highlight of my career. If I was smart enough, I would have made a wisecrack about #Evergrande. #earthquake http…
  • RT @FxWestwater: Australian Dollar Forecast: Evergrande, PBOC, Risk Trends, BoJ on the Radar Link:…
  • Do you know how to properly Identify a double top formation? Double tops can enhance technical analysis when trading both forex or stocks, making the pattern highly versatile in nature. Learn more about the double top formation here:
  • The Bank of England should scrap the last of its quantitative easing plans and start preparing for an increase in interest rates. All 9 members of the shadow monetary policy committee said the Bank should end the QE programme early, with almost £50bln left - The Times
  • The Nasdaq 100 gains modestly after Monday's sharp losses, but sentiment remains cautious ahead of the FOMC rate decision. Get your market update from @Tams707 here:
  • Ethereum continues its sharp slide, currently down more than 4.7% on the day $ETHUSD #Ethereum
  • Rising energy prices weigh on European policymakers as consumers fear higher prices, carbon dioxide shortages (CO2), and cold winter. Get your market update from @Tams707 here:
  • US President Biden: - Will discuss a trade deal with UK PM Boris Johnson - I do not want to see a closure of Irish borders
  • AUD/USD continues to trend lower ahead of tomorrow's FOMC meeting. Further $USD strength could bring the August low into play $AUDUSD
Steady Unemployment and Inflation Fails to Impress Euro Traders

Steady Unemployment and Inflation Fails to Impress Euro Traders

Benjamin Spier, Technical Strategist

THE TAKEAWAY: Euro-zone unemployment remained at a record high in June -> Annual inflation continues at 1.6% -> Little Euro reaction-

Want to trade with proprietary strategies developed by FXCM? Find out how here.

The Euro-zone unemployment rate remained unchanged at an all-time high for the fifth consecutive month, possibly supporting the claim that the economy has bottomed. The unemployment rate was reported at 12.1% for June, beating expectations for the rate to rise to 12.2%, as the rate for May was revised lower to 12.1%.

The Euro-zone consumer price index was reported 1.6% higher year over year for the second consecutive month, according to the Eurostat’s initial estimate for July. The annual inflation rate seems to have rebounded from a three year low rate at 1.2% set in April.

The ECB maintains a 2.0% inflation target and predicts 1.4% annual inflation for 2013. If unemployment starts to decline and annual inflation rises further, the combination of the improved economic indicator and higher prices may discourage the ECB from pursuing unconventional tools that President Draghi mentioned in June.

However, the Euro did not react significantly to the better than expected unemployment, possibly because it was unchanged from the revised prior month’s unemployment rate. EUR/USD may continue to see resistance by a monthly high set yesterday at 1.3302, and the broken resistance near 1.3200 may now provide support.

Forex trading today may remain focused on the upcoming FOMC decision scheduled during the North American session.

New to EUR/USD trading? Watch this video

EURUSDDaily: July 31, 2013

Steady_Unemployment_and_Inflation_Fails_to_Impress_Euro_Traders_body_eurusd_daily_chart.png, Steady Unemployment and Inflation Fails to Impress Euro Traders

Chart created by Benjamin Spier using Marketscope 2.0

-- Written by Benjamin Spier, DailyFX Research. Feedback can be sent to .

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.