Talking Points:
- German’s ZEW Expectation’s Survey Lowest in 5 Months
- Report Reflects Waning Economic Expectations, Boosts Speculation for ECB Stimulus
- EUR/USD Resistance Seen at 1.3810/40
Germany’s ZEW Survey of investor confidence reported mixed as the forward-looking expectations gauge fell for the fifth consecutive month to 33.1 (40 consensus and 43.2 in April). Economic expectations for the Eurozone also lost ground as the indicator fell from 61.2 to 55.2 in May.
|
Currency |
Release |
Actual |
Survey |
Previous |
|
EUR |
Eurozone ZEW Survey (Economic Sentiment) (May) |
55.2 |
61.2 |
|
|
EUR |
German ZEW Survey (Current Situation) (May) |
62.1 |
60.5 |
59.5 |
|
EUR |
German ZEW Survey (Economic Situation) (May) |
33.1 |
40.0 |
43.2 |
The survey weighed heavily on the euro sending EURUSD to a one month. Last week the Euro fell significantly against the US dollar as the ECB announced the possibility of intervention in June as the FX rate is uncomfortably high.
EUR/USD 5 min Chart –May 13, 2014. Chart Creating Using FXCM Marketscope 2.0
-- Written by David Maycotte, DailyFX Research Team. Questions, comments or concerns can be sent to instructor@dailyfx.com.
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