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.

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
Subscribe
Please try again
More View more
Real Time News
  • ✨FOMC Live Webinar | DailyFX Asia @DailyFXasia 🆓Register For Free ✏️Language: Chinese ⏱️Time: 2021/07/29 01:50 (GMT+8) ✏️Details: https://t.co/tSKSj8lCzU Feel free to join in, if you ae interested in July FOMC Meeting 😄
  • Indices Update: As of 07:00, these are your best and worst performers based on the London trading schedule: France 40: 0.04% US 500: -0.19% Wall Street: -0.22% Germany 30: -0.33% FTSE 100: -0.45% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/EFE5Znr1AI
  • Traders utilize varying time frames to speculate in the forex market. The two most common are long- and short-term-time frames which transmits through to trend and trigger charts. Learn more about time-frame analysis here: https://t.co/9S5tXIs3SX https://t.co/dTQqfHXNtM
  • Gold Prices Test $1800 Ahead of Fed Meeting, Real Yields Fall https://www.dailyfx.com/forex/market_alert/2021/07/27/Gold-Prices-Test-1800-Support-ahead-of-Fed-Meeting-Real-Yields-Fall.html
  • The Hang Seng Tech index tumbled 5.4% amid intensified fears about China's regulatory risk on various sectors. - Tencent (-6.2%) - Alibaba (-5.0%) - Meituan (-13.9%) - Hang Seng Index (-2.5%)
  • The continuity seen across these volatility cycles is a good thing. Historical precedence offer a blueprint for identifying conditions supportive for a vol-event to occur, and how they may unfold. Deepen your knowledge of historical volatility here: https://t.co/vg7w10la3j https://t.co/A0w6mhPMvH
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Silver are long at 93.33%, while traders in Wall Street are at opposite extremes with 79.17%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/AY4wL5b1NV
  • Risk management is one of the most important aspects of successful trading, but is often overlooked. What are some basic principles or risk management? Find out from @PaulRobinsonFX here: https://t.co/IsnpfJhp91 https://t.co/NrcUfXKP8J
  • Forex Update: As of 04:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.16% 🇬🇧GBP: 0.05% 🇪🇺EUR: 0.00% 🇦🇺AUD: -0.02% 🇨🇭CHF: -0.03% 🇳🇿NZD: -0.06% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/UwJz4Gv6hT
  • Indices Update: As of 04:00, these are your best and worst performers based on the London trading schedule: France 40: 0.12% FTSE 100: -0.02% Germany 30: -0.04% US 500: -0.16% Wall Street: -0.16% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/cGDe8jiSqf
ECB Predicts Slower Growth, Lower Inflation

ECB Predicts Slower Growth, Lower Inflation

Benjamin Spier, Technical Strategist

THE TAKEAWAY: ECB forecasts further losses and lower inflation -> Report echoes Draghi’s plan for bond purchases -> Euro trading lower

After lowering its forecasts for Euro-zone growth and inflation, the European Central Bank said it may undertake outright open market operations, implying a follow up to President Draghi’s possible bond buying program.

The editorial in the report called on governments to stand by their commitments and activate ESM/EFSF purchases in the bond market when necessary, and said the ECB may also take open market operations, even non-standard monetary policy measures. Again, this may imply the purchasing of bonds of struggling countries, in hopes of lowering the governments’ borrowing costs.

The ECB forecasted the 2012 GDP at -0.3%, down from previous estimate of -0.2%, a 0.6% growth in 2013, down from a previous estimate of 1%, and a 1.4% growth in 2014. The bank also forecasted 2.3% inflation in 2012, and 1.7% inflation in 2013, down from a previous estimate of 1.8%.

The ECB further said that risks surrounding the economic outlook point to the downside, the risks are caused by the instability of particular countries and the rising energy prices. The report also echoed Draghi by stating that the Euro is irreversible.

The Euro dropped to new session lows after the report was released. The most recent drop continues losses that started earlier in the session and therefore may not be a reaction to the release but rather a continuation of a session trend. The pair has traded in an uptrend over the past two weeks, and support might be found around 1.2326, by a month-long resistance turned support line.

ECB_Forecasts_Further_Losses_and_Lower_Inflation_body_eurusd_daily_chart.png, ECB Predicts Slower Growth, Lower Inflation

“Meet the DailyFX team in Las Vegas at the annual FXCM Traders Expo, November 2-4, 2012 at the Rio All Suite Hotel & Casino. For additional information regarding the schedule, workshops and accommodations, visit the FXCM Trading Expo website.”

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

DISCLOSURES