EUR/USD at 1.3380 Before Policy Review

The euro nursed broad losses early on Thursday after a batch of disappointing data from Italy and Germany soured sentiment for the currency just hours ahead of a policy review by the European Central Bank.

Italy unexpectedly slid back into recession in the second quarter, while German industrial orders in June posted their biggest monthly fall since September 2011.  Investors were quick to dump the euro, driving the currency to its lowest in over eight months against the yen at 136.16. It skidded to a three-week low on the Swiss franc, hitting 1.2140 francs.

Against the dollar, the common currency initially slumped to a nine-month trough of $1.3333, but then erased all of its losses and then some to trade back at $1.3385.  The recovery came when the dollar went into a free fall against the yen in thin conditions just after European markets had closed.


Content 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 Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at Visit to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.