oanda_logo
  • Sign in
  • Open an account

Sign in

Select account:

  • Currency converter
    • Converter
    • Tools
    • Mobile
    • Live rates
    • Historical rates
    • Embed converter
    • Help
  • FX Data Services
    • FX Data Services overview
    • Exchange Rates API
    • Corporate FX transfers
    • Historical currency converter
    • Contact us
    • Blog
  • OANDA Group
    • About OANDA
    • Media centre
    • Careers
Logotype
The Beat of the Global Markets
  • Home
  • News Events
    • Brexit
    • COVID-19
    • Earnings season
    • Non-farm payrolls
    • Trade war
    • US election
  • Markets
    • FX
    • Indices
    • Commodities
    • Crypto
  • Multimedia
    • Podcasts
    • Videos
  • Economic calendar
  • Analysts
Home/FX/Newsfeed

EUR/USD – Euro Pushes Past 1.13, Eurozone Final CPI Contracts

March 17, 2016 Share Print 0

EUR/USD continues to rally on Thursday, as the pair trades at 1.1320 in the European session. On the release front, Eurozone Final CPI dropped 0.2%, matching the forecast. There was better news from Core CPI, which posted a gain of 0.8%. It’s a busy day in the US, highlighted by the Philly Fed Manufacturing Index and Unemployment Claims.

Inflation levels continue to raise concerns about the health of the Eurozone economy, as Final CPI slipped by 0.2% in February, compared to a gain of 0.3% a month earlier. It was the key indicator’s worst showing since April 2015. Still, the euro has sparkled since Tuesday, surging over 200 points. EUR/USD is currently trading at 4-week highs. The euro gained ground following the Federal Reserve statement, which said that the Fed expected to raise rates only two times in 2016, compared to the four times projected in December 2015.

As expected, the Federal Reserve stood pat and did not raise interest rates at its policy meeting on Wednesday, maintaining the benchmark rate at 0.25%. The Fed statement noted that the US economy remains vulnerable to an uncertain global economy, but expects to raise rates later in the year due to moderate growth and “strong job gains”. The statement was dovish in tone, a clear departure from the December meeting, when the Fed raised rates for the first time in nine years and talked about four rate hikes over the course of 2016. In just a short three months, global demand has weakened, precipitated by the Chinese slowdown, and US numbers have cooled in comparison to the economy’s torrid pace in the second half of 2015. If inflation and employment numbers push higher in next several months, a rate hike in mid-2016 seems a good bet.

EUR/USD Fundamentals

Thursday (March 17)

  • 9:02 Italian Trade Balance. Estimate 4.33B. Actual 0.04B
  • 9:43 Spanish 10-year Bond Auction. Estimate 1.48%
  • 10:00 Eurozone Final CPI. Estimate -0.2%. Actual -0.2%
  • 10:00 Eurozone Final Core CPI. Estimate 0.7%. Actual 0.8%
  • 10:00 Eurozone Trade Balance. Estimate 20.2B. Actual 21.2B
  • 12:30 US Philly Fed Manufacturing Index. Estimate -1.4
  • 12:30 US Unemployment Claims. Estimate 267K
  • 12:30 US Current Account. Estimate -117B
  • 14:00 US JOLTS Job Openings. Estimate 5.57M
  • 14:00 US CB Leading Index. Estimate 0.2%
  • 14:30 US Natural Gas Storage. Estimate -9B

*Key events are in bold

*All release times are GMT

EUR/USD for Thursday, March 17, 2016

EUR/USD March 17 at 7:10 GMT

Open: 1.1216 Low: 1.1203 High: 1.1342 Close: 1.1323

EUR/USD Technical

S1 S2 S1 R1 R2 R3
1.1087 1.1172 1.1278 1.1387 1.1495 1.1638
  • EUR/USD was flat in the Asian session but has posted strong gains in European trade, breaking past two resistance lines
  • 1.1278 has switched to support following strong gains by EUR/USD
  • There is resistance at 1.1387

Further levels in both directions:

  • Below: 1.1278, 1.1172 and 1.1087
  • Above: 1.1387, 1.1495, and 1.1638
  • Current range: 1.1278 to 1.1387

OANDA’s Open Positions Ratio

EUR/USD ratio has shown slight movement towards short positions, which have a strong majority (61%). This is indicative of strong trader reversing directions and heading to lower levels.

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.

  • Bio
  • Google+
  • Latest Posts
Kenny Fisher

Kenny Fisher

Currency Analyst at Market Pulse
Kenny Fisher joined OANDA in 2012 as a Currency Analyst. Kenny writes a daily column about current economic and political developments affecting the major currency pairs, with a focus on fundamental analysis. Kenny began his career in forex at Bendix Foreign Exchange in Toronto, where he worked as a Corporate Account Manager for over seven years.
Kenny Fisher

+Kenny Fisher

Kenny Fisher

Latest posts by Kenny Fisher (see all)

  • ECB minutes raise concerns over euro - 01/15/2021
  • UK GDP slides but beats forecast - 01/15/2021
  • Markets brace for plunge in UK GDP - 01/14/2021
EUR, EUR/USD, Eurozone Final Core CPI, Eurozone Final CPI, Eurozone Trade Balance, FX, Italian Trade Balance, Spanish 10-year Bond Auction, US CB Leading Index, US Current Account, US JOLTS Job Openings, US Natural Gas Storage, US Philly Fed Manufacturing Index, US Unemployment Claims, usd
Back to Top
Subscribe
Subscribe form
Week ahead
Week Ahead – Earnings season in focus
Posted by Craig Erlam Jan 15, 2021
FX
Commodities, Cryptos, and FX: King dollar sends risky assets...
Posted by Ed Moya Jan 15, 2021
ECB minutes raise concerns over euro
Posted by Kenny Fisher Jan 15, 2021
UK GDP slides but beats forecast
Posted by Kenny Fisher Jan 15, 2021
Indices
Stocks slide on mostly poor economic data and as banks start...
Posted by Ed Moya Jan 15, 2021
Equities in Asia edge higher
Posted by Jeffrey Halley Jan 15, 2021
US Close – Impeachment Part Deux, Affirmed debut, Doll...
Posted by Ed Moya Jan 13, 2021
Commodities
Commodities, Cryptos, and FX: King dollar sends risky assets...
Posted by Ed Moya Jan 15, 2021
Oil pares gains, gold eases, bitcoin pulls back
Posted by Craig Erlam Jan 15, 2021
Oil consolidates, gold steady
Posted by Jeffrey Halley Jan 15, 2021
Crypto
Commodities, Cryptos, and FX: King dollar sends risky assets...
Posted by Ed Moya Jan 15, 2021
Oil pares gains, gold eases, bitcoin pulls back
Posted by Craig Erlam Jan 15, 2021
Oil pulls back, gold stable, bitcoin recovery
Posted by Craig Erlam Jan 13, 2021
Follow us
  • RSS
  • Facebook
  • Twitter
  • Google

Logotype

MarketPulse provides up-to-the-minute analysis on forex, commodities and indices from around the world.

  • OANDA Group
  • FX Data Services
  • Currency conversion
  • News events
  • Markets
  • Economic calendar
  • About MarketPulse
  • Terms of use
  • Site map
MarketPulse is an award-winning news site that delivers round-the-clock commentary on a wide range of asset classes, as well as in-depth insights into the major economic trends and events that impact the markets. The content produced on this site is for general information purposes only and should not be construed to be advice, invitation, inducement, offer, recommendation or solicitation for investment or disinvestment in any financial instrument. Opinions expressed herein are those of the authors and not necessarily those of OANDA or any of its affiliates, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, please access the RSS feed or contact us at info@marketpulse.com © 2020 OANDA Business Information & Services Inc.