The euro fell for second day before the European Central Bank meets tomorrow to discuss measures to tackle the regionâ€™s debt crisis.
ECB President Mario Draghi told lawmakers in a closed-door session in Brussels this week the bankâ€™s primary mandate compels it to intervene in bond markets to ensure the euroâ€™s survival. The 17-nation currency remained lower versus most of its major counterparts before data forecast to show retail sales declined and services contracted in the euro area. The Australian dollar touched a six-week low after the government reported second- quarter gross domestic product grew less than analysts expected.
â€œA lot of expectations have been built into the ECB meeting since President Draghiâ€™s comments,â€ said Yuki Sakasai, a currency strategist at Barclays Plc in New York. â€œThereâ€™s a risk of a disappointment, so the euro may face some downward pressure into the meeting.â€
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.