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.

0

Notifications

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

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Mixed
Oil - US Crude
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Bearish
Gold
Mixed
GBP/USD
Bearish
USD/JPY
Mixed
More View more
Real Time News
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.84%, while traders in EUR/USD are at opposite extremes with 73.21%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/EwayAGFbnA
  • LIVE NOW: Join Technical Strategist @MBForex for his Weekly Strategy Webinar to review the setups we're tracking into the open of the week! https://t.co/chKtG7waxH
  • Forex Update: As of 12:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.02% 🇬🇧GBP: 0.00% 🇦🇺AUD: -0.13% 🇨🇭CHF: -0.29% 🇪🇺EUR: -0.35% 🇨🇦CAD: -0.50% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/mZiZqBCZLu
  • Heads Up:🇺🇸 Chicago Fed National Activity Index (SEP) due at 12:30 GMT (15min) Expected: 0.39 Previous: 0.79 https://www.dailyfx.com/economic-calendar#2020-10-26
  • Weekly Strategy Webinar starting in 15mins on DailyFX! https://t.co/lxd5fZnn4H
  • 🇲🇽 Economic Activity YoY (AUG) Actual: -9.4% Expected: -8.2% Previous: -9.9% https://www.dailyfx.com/economic-calendar#2020-10-26
  • There’s a strong correlation between interest rates and forex trading. Forex is ruled by many variables, but the interest rate of the currency is the fundamental factor that prevails above them all. Learn how interest rates impact currency markets here: https://t.co/ERyiY47G5H https://t.co/QwnJsDqWff
  • Heads Up:🇲🇽 Economic Activity YoY (AUG) due at 12:00 GMT (15min) Expected: -8.2% Previous: -9.8% https://www.dailyfx.com/economic-calendar#2020-10-26
  • Join @MBForex at 8:30 AM ET/12:30 PM GMT for his weekly strategy #webinar Register here: https://t.co/VAnAfZU02T https://t.co/n8n2IblRD3
  • Heads Up:🇧🇷 BCB Focus Market Readout due at 11:30 GMT (15min) https://www.dailyfx.com/economic-calendar#2020-10-26
Euro May Fall on ECB Minutes, Jackson Hole and Eurozone PMIs

Euro May Fall on ECB Minutes, Jackson Hole and Eurozone PMIs

2019-08-22 06:30:00
Dimitri Zabelin, Analyst
Share:

US Dollar, Euro, Jackson Hole, Eurozone PMIs – TALKING POINTS

  • Euro may fall vs. US Dollar if ECB minutes evoke ultra-dovish expectations
  • Eurozone PMIs may exacerbate regional growth fears and undermine Euro
  • Official commentary on growth outlook at Jackson Hole may spook markets

Learn how to use political-risk analysis in your trading strategy!

The Euro may suffer against the US Dollar if the release of the ECB minutes reveal stronger-than-expected dovish inclinations against the backdrop of Eurozone PMI publications. Regional growth concerns have been mounting as Germany – Europe’s largest economy – is expected to show a contraction in Q2. Comments from officials at the Jackson Hole symposium may also stoke growth fears and boost the anti-risk USD vs the Euro.

Jackson Hole Symposium

Markets will be closely watching the Jackson Hole symposium for comments from officials regarding the growth outlook. The release of the FOMC meeting minutes revealed that trade war concerns remain a “persistent headwind” and low inflation remain key obstacles along with corporate debt and leveraged lending. The latter has begun to sound the alarm as the collateralized loan obligation market stirs familiar fears.

European Growth Concerns, Political Instability

If comments from the Jackson Hole symposium carry overwhelming undertones of uncertainty, the Euro may fall against its US Dollar counterparts. EURUSD’s decline may be amplified if Eurozone PMI data reinforces the fear that the Eurozone is significantly decelerating in its growth prospects. As it stands, Germany is planning on implementing stimulative policies as a contingency for a crisis ahead.

Europe is also dealing with chronic political upset in both the mainland and overseas. The latter is referring to the ongoing Brexit negotiations that remain unclear despite the October 31 deadline approaching. Italian political volatility and another possible budget dispute in the same month may magnify market volatility. During times of economic uncertainty, the capacity for political shocks to disrupt markets is notably increased.

CHART OF THE DAY: Weak European Manufacturing PMI May Spill Over into Services Soon

Chart showing Eurozone PMI

FX TRADING RESOURCES

--- Written by Dimitri Zabelin, Jr Currency Analyst for DailyFX.com

To contact Dimitri, use the comments section below or @ZabelinDimitrion Twitter

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

DISCLOSURES