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
GBP/USD
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
More View more
Real Time News
  • Heads Up:🇨🇳 Industrial Profits (YTD) YoY (AUG) due at 01:30 GMT (15min) Previous: 57.3% https://www.dailyfx.com/economic-calendar#2021-09-27
  • RT @FxWestwater: Australian Dollar Forecast: $AUDUSD Action May Swing on Chinese Industrial Profits Link: https://www.dailyfx.com/forex/fundamental/daily_briefing/daily_pieces/asia_am_briefing/2021/09/26/Australian-Dollar-Forecast-AUDUSD-Action-May-Swing-on-Chinese-Industrial-Profits.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Westwater&utm_campaign=twr https://…
  • Central banks often deem it necessary to intervene in the foreign exchange market to protect the value of their national currency. Learn how central bank intervention can impact your trading here: https://t.co/8G8mUX4so6 https://t.co/YTdM3KVtUk
  • The Consumer Price Index, better known by the acronym CPI, is an important economic indicator released on a regular basis by major economies to give a timely glimpse into current growth and inflation levels. Learn how to better understand CPI here: https://t.co/nAa0fHHGbZ https://t.co/Bnih4YvTdg
  • *Reminder: Weekly Strategy Webinar tomorrow morning at 8:30am ET on DailyFX! https://t.co/lxd5fZ5LG7
  • (Weekly Fundy) Crude Oil May Rise as Covid Case Growth Slows. WTI Eyes OPEC Outlook, Evergrande #CrudeOil #WTI #OPEC #Evergrande https://www.dailyfx.com/forex/fundamental/forecast/weekly/title/2021/09/26/Crude-Oil-May-Rise-as-Covid-Case-Growth-Slows-WTI-Eyes-OPEC-Outlook-Evergrande.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/76e2aGf3p0
  • Recessions can devastate the economy and disrupt the fortunes of individuals, businesses, and investors. But economic decline in the business cycle is inevitable, and your trading can be defined by how you respond to crisis. learn how to prepare here: https://t.co/e4Cnoc1dk0 https://t.co/NhsMS1EY4b
  • We are heading into the final trading days for the month of September and event risk thins out amid the $SPX's rebound. This is what history says for the 39th week of the year and here is my take on the variable factors: https://www.dailyfx.com/forex/video/daily_news_report/2021/09/25/SP-500-and-Dollar-Have-Different-Views-for-Last-Week-of-September.html https://t.co/4OBVmrvI7I
  • Further your forex knowledge and gain insights from our expert analysts on AUD with our free guide, available today: https://www.dailyfx.com/free-trading-guides?ref-author=social#forecastschoices=AUD?QPID=30472&CHID=9 https://t.co/LHJi7CNFmM
  • $EURUSD https://t.co/KZyXX6p2oI
Strong Euro-Zone GDP Growth to Support EUR as Tapering Approaches

Strong Euro-Zone GDP Growth to Support EUR as Tapering Approaches

Martin Essex, MSTA, Analyst

EURUSD talking points:

- The Euro-Zone economy continues to expand, with GDP growth hitting 2.7% year/year in Q4.

- That should keep the Euro on the front foot as the ECB ponders when to end its monetary stimulus measures.

Learn how to trade like an expert by reading our guide to the Traits of Successful Traders

New to forex and want to find out more about trading EUR? Take a look at our Forex Trading Guides

Robust Euro-Zone GDP Growth

The Euro-Zone economy expanded by a healthy 2.7% year/year in the final quarter of last year, keeping up the pressure on the European Central Bank to end the monetary stumulus it provides for the Euro-Zone economy later this year. That prospect should continue to support the Euro, especially as the ECB will likely follow the ending of its bond buying program with interest rate increases, although not for many months yet.

GDP growth in the fourth quarter was 0.6% quarter/quarter and data also showed industrial production in January up by a remarkable 5.2% year/year from an upwardly revised 3.7%. That was well above the expected 4.2% and came despite a drop to 0.4% month/month from an upwardly revised 1.3%. While the Euro was easier Wednesday, it is likely to resume its climb longer term as the end of the ECB’s asset purchase program comes closer.

EURUSD Price Chart, Five-Minute Timeframe (February 14, 2018)

EURUSD Price Chart

Chart by IG

Earlier, Germany also reported a healthy rate of expansion, with GDP growth of 2.9% year/year working day adjusted, up from a downwardly revised 2.7% although just below the predicted 3.0%. Italian GDP growth was less buoyant at 0.3% quarter/quarter and 1.6% year/year – both below both expectations and the numbers for the previous quarter.

Meanwhile, inflation in the bloc remains subdued, providing a headache for the ECB as an ending of its bond buying program would likely keep inflation below its target of below but close to 2%. Consumer price data from Germany, also released Wednesday, showed inflation at just 1.6% year/year in January.

--- Written by Martin Essex, Analyst and Editor

Feel free to contact me via the comments section below, via email at martin.essex@ig.com or on Twitter @MartinSEssex

For help to trade profitably, check out the IG Client Sentiment data

And you can learn more by listening to our regular Trading Webinars

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

DISCLOSURES