Should we keep an eye on the upside potential of the euro, which is rebounding?
03.04.2024
- European Consumer Price Index
- Turkey: Consumer Price Index
In the U.S. currency market yesterday, the U.S. dollar weakened against the euro after the February U.S. durable goods orders, released yesterday, fell by 0.1 percentage points to 1.3% from 1.4% the previous month. The EUR/USD pair rose from 1.0724 to 1.0778, marking its first daily bullish candle in six days.On the 4-hour chart, the EUR/USD pair is attempting to rise from just below the 20-day moving average, so we should watch for any signs of the US dollar losing momentum during European trading hours.
Despite the preliminary March consumer price index (CPI) for Germany, released yesterday, showing a year-over-year decline from 2.5% in the previous month to 2.2%, the euro strengthened against the yen. The EUR/JPY pair rose from 162.623 to 163.377. The 200-period simple moving average (SMA) on the 4-hour chart acted as a support level.On the daily chart, the pair has rebounded from the 20-day moving average (MA), so it will be worth watching whether the euro extends its gains into U.S. trading hours.
Today's economic indicators include the China Caixin Services PMI at 10:45, the French budget balance at 15:45,at 4:00 PM: Turkey’s Consumer Price Index and Producer Price Index; at 6:00 PM: Eurozone Consumer Price Index and Unemployment Rate; at 8:00 PM: U.S. MBA Mortgage Applications Index; at 9:15 PM: U.S. ADP National Employment Report; at 9:30 PM: Remarks by Bostic, President of the Atlanta Fed; at 10:45 PM: U.S. Services PMI;US Fed Governor Bowman’s remarks, US ISM Non-Manufacturing PMI at 11:00 PM, US weekly crude oil inventories at 11:30 PM, US Chicago Fed President Goolsbee’s remarks at 1:00 AM, and US Fed Chair Powell’s remarks at 1:10 AM. We will closely monitor the upside potential of the euro, which is rebounding.
Author: Keisuke Sakurai
