At the end of this trading week, the major currency pair slowed down its decline and started consolidating.
EURUSD stopped falling, but for how long? The current quote for the instrument is 1.1019.
The second estimate of the Euro Area’s GDP showed no changes, +0.2% q/q, the same as before. But the statistics from the USA were more optimistic: the PPI added 0.4% m/m in October after losing 0.3% m/m the month before and against the expected reading of +0.3% m/m. The Core PPI showed +0.3% m/m after being -0.3% m/m in September.
The US Federal Reserve Chairman Jerome Powell, who spoke yesterday, said that uncertainty with import tariffs was paralyzing activities of American companies. Due to this, investment issue also remains unsettled and that’s not good for the economy. Powell also noticed that the American national debt was growing faster than the country’s economic system and that’s not acceptable. Sooner or later, the “ballooning” national debt will make the USA put its budget into order, but not right now.
The labor market was defined by Powell as stable. He mentioned that there was a pretty high demand in the sector by historical standards.
In the evening, the USA will publish an interesting report on the Retail Sales in October. The indicator is expected to add 0.1% m/m after losing 0.3% m/m in September, but the actual reading may be even better. It would be good for the USD.
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex bears no responsibility for trading results based on trading recommendations described in these analytical reviews.