Euro Down to 1.2780 on Weak Economic Data

The euro weakened following a decline last month as economic data signal the 17-nation region is struggling to recover, damping demand for the currency.

The euro fell versus most of its 16 major counterparts ahead of a report tomorrow that may show unemployment in the bloc climbed to a record in February, two days before European Central Bank officials meet to set interest rates. The yen strengthened, after last month capping its longest string of losses in 12 years, as a drop in Asian stocks spurred demand for safer assets. The Australian dollar slid after gains in Chinese manufacturing missed estimates.

“There may be talks at this week’s ECB meeting about something accommodative,” said Hideki Shibata, a senior strategist for rates and currencies at Tokai Tokyo Research Center Co. in Tokyo. “The euro is being sold because of such a risk.”


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.