EUR/USD extends losses as German data and French political turmoil weigh

출처 Fxstreet
  • EUR/USD weakens for third day amid German data slump and prolonged US shutdown.
  • Fed minutes reveal officials remain cautious on inflation despite signaling further rate cuts ahead this year.
  • French PM Lecornu reports progress on talks as Macron races to appoint a new government within 48 hours.

EUR/USD extends its losses for three straight consecutive days, down 0.32% as the US government shutdown extends, and the Federal Reserve’s last meeting minutes showed that officials remain cautious on inflation, despite easing policy. At the time of writing, the pair trades at 1.1622 after hitting a daily high of 1.1661.

France political turmoil and German data push the Euro lower

Euro’s weakness is mainly sponsored by the French political turmoil as the outgoing Prime Minister Sebastien Lecornu revealed there have been progress in negotiations with parliamentary groups and that President Macron could be able to name a new PM in 48 hours.

Aside from this, the Fed minutes showed that policymakers were willing to cut rates further this year, but many expressed concerns over inflation. The minutes revealed that “Most participants observed that it was appropriate to move the target range for the federal funds rate toward a more neutral setting because they judged that downside risks to employment had increased.”

Data-wise, the US economic docket remains absent but in Europe, German Industrial Production data plunged by 4.3% MoM stoking fears of recession in the largest economy of the bloc.

Ahead this week, the Eurozone schedule will feature Germany’s Trade Balance, the European Central Bank last meeting minutes and a speech by its Chief Economist Philip Lane. In the US, Federal Reserve Chair Jerome Powell will cross the wires, followed by Governors Michelle Bowman, Michael Barr and Minneapolis Fed President Neel Kashkari.

Daily digest market movers: EUR/USD tumbles on France political turmoil

French Prime Minister Sébastien Lecornu said there is room for compromise in parliament, noting that an absolute majority in the National Assembly opposes a new dissolution. Lecornu informed President Emmanuel Macron that the likelihood of dissolution is diminishing and that current conditions should allow the appointment of a new prime minister within the next 48 hours.

The Fed Minutes revealed policymakers’ debate over the response to changing risks, while most officials warned about inflation, despite acknowledging job market risks. Officials were worried about protecting the labor market and favored easing policy “further over the remainder of this year.”

Fed policymakers are evenly split regarding the fed funds rate, with nine of them favoring two cuts and Stephen Miren eyeing several more, while the remaining nine projecting one one or no further rate cuts.

Money markets indicate that the Fed will cut interest rates by 25 basis points (bps) at the upcoming October 29 meeting. The odds stand at 94%, according to the Prime Market Terminal interest rate probability tool.

Technical outlook: EUR/USD collapses below 1.1650, eyes on 1.1600

The EUR/USD is neutral to downward biased, yet it remains above the 1.1600 print, which keeps the chances of trading within the 1.1600-1.1700 range. The Relative Strength Index (RSI) shows turned bearish, a sign that sellers are gathering momentum.

If EUR/USD drops below 1.1600, the n ext support would be the August 27 swing low at 1.1574, followed by August 1 cycle low at 1.1391. On the upside, the EUR/USD first resistance would be 1.1700. The next key resistance areas would be 1.1760, 1.1800 and the July 1 high of 1.1830.

EUR/USD daily chart

Euro FAQs

The Euro is the currency for the 19 European Union countries that belong to the Eurozone. It is the second most heavily traded currency in the world behind the US Dollar. In 2022, it accounted for 31% of all foreign exchange transactions, with an average daily turnover of over $2.2 trillion a day. EUR/USD is the most heavily traded currency pair in the world, accounting for an estimated 30% off all transactions, followed by EUR/JPY (4%), EUR/GBP (3%) and EUR/AUD (2%).

The European Central Bank (ECB) in Frankfurt, Germany, is the reserve bank for the Eurozone. The ECB sets interest rates and manages monetary policy. The ECB’s primary mandate is to maintain price stability, which means either controlling inflation or stimulating growth. Its primary tool is the raising or lowering of interest rates. Relatively high interest rates – or the expectation of higher rates – will usually benefit the Euro and vice versa. The ECB Governing Council makes monetary policy decisions at meetings held eight times a year. Decisions are made by heads of the Eurozone national banks and six permanent members, including the President of the ECB, Christine Lagarde.

Eurozone inflation data, measured by the Harmonized Index of Consumer Prices (HICP), is an important econometric for the Euro. If inflation rises more than expected, especially if above the ECB’s 2% target, it obliges the ECB to raise interest rates to bring it back under control. Relatively high interest rates compared to its counterparts will usually benefit the Euro, as it makes the region more attractive as a place for global investors to park their money.

Data releases gauge the health of the economy and can impact on the Euro. Indicators such as GDP, Manufacturing and Services PMIs, employment, and consumer sentiment surveys can all influence the direction of the single currency. A strong economy is good for the Euro. Not only does it attract more foreign investment but it may encourage the ECB to put up interest rates, which will directly strengthen the Euro. Otherwise, if economic data is weak, the Euro is likely to fall. Economic data for the four largest economies in the euro area (Germany, France, Italy and Spain) are especially significant, as they account for 75% of the Eurozone’s economy.

Another significant data release for the Euro is the Trade Balance. This indicator measures the difference between what a country earns from its exports and what it spends on imports over a given period. If a country produces highly sought after exports then its currency will gain in value purely from the extra demand created from foreign buyers seeking to purchase these goods. Therefore, a positive net Trade Balance strengthens a currency and vice versa for a negative balance.

면책 조항: 정보 제공 목적으로만 사용됩니다. 과거 성과가 미래 결과를 보장하지 않습니다.
placeholder
2025년에도 대세는 AI, 주목할 만한 AI 관련 ETF 3Investing.com – 2024년 미국 주식 시장의 성장을 이끈 주요 요인 중 하나로 인공지능(AI)을 꼽는 데 이견을 제시할 투자자는 많지 않을 것이다. 엔비디아를 비롯한 주요 기술주들은 대부분 AI를 기반으로 성장하고 있으며, 이러한 성장세는 아직 초기 단계에 불과하다. 이에 따라 2025년에도 여전히 AI를 중심으로 한 기술주들의 성장이 지속될
저자  Investing
2024 년 12 월 17 일
Investing.com – 2024년 미국 주식 시장의 성장을 이끈 주요 요인 중 하나로 인공지능(AI)을 꼽는 데 이견을 제시할 투자자는 많지 않을 것이다. 엔비디아를 비롯한 주요 기술주들은 대부분 AI를 기반으로 성장하고 있으며, 이러한 성장세는 아직 초기 단계에 불과하다. 이에 따라 2025년에도 여전히 AI를 중심으로 한 기술주들의 성장이 지속될
placeholder
도지코인 가격 전망: 이익 실현 매물 급증… 급락 위험 커져도지코인(DOGE)은 월요일 작성 시점 기준으로 주간 핵심 지지선인 0.18달러 아래에서 등락을 이어가며, 매수 모멘텀이 약화되고 있음을 시사하고 있다.
저자  FXStreet
6 월 16 일 월요일
도지코인(DOGE)은 월요일 작성 시점 기준으로 주간 핵심 지지선인 0.18달러 아래에서 등락을 이어가며, 매수 모멘텀이 약화되고 있음을 시사하고 있다.
placeholder
은 가격 전망: 35.40달러 지지선 위에서는 매수 우위 지속은 가격(XAG/USD)은 목요일 아시아 거래 시간대에 36.55~36.60달러 부근에서 매도 압력을 받으며 전일 강세 흐름 중 일부를 반납했다. 이는 주간 상단 저항선 부근까지의 상승분을 일부 되돌리는 흐름으로 해석된다.
저자  FXStreet
7 월 03 일 목요일
은 가격(XAG/USD)은 목요일 아시아 거래 시간대에 36.55~36.60달러 부근에서 매도 압력을 받으며 전일 강세 흐름 중 일부를 반납했다. 이는 주간 상단 저항선 부근까지의 상승분을 일부 되돌리는 흐름으로 해석된다.
placeholder
MOODENG, Upbit Korea 거래 지원 소식에 40% 넘게 급등솔라나 기반 밈코인 Moo Deng(MOODENG)이 지난 24시간 동안 40% 넘게 급등하며, 목요일 기준 약 $0.204 선에서 거래되고 있다. 이번 급등의 주된 이유는 국내 암호화폐 거래소 업비트가 하마를 테마로 한 이 토큰에 대한 거래 지원을 공식 발표했기 때문이다.
저자  FXStreet
7 월 03 일 목요일
솔라나 기반 밈코인 Moo Deng(MOODENG)이 지난 24시간 동안 40% 넘게 급등하며, 목요일 기준 약 $0.204 선에서 거래되고 있다. 이번 급등의 주된 이유는 국내 암호화폐 거래소 업비트가 하마를 테마로 한 이 토큰에 대한 거래 지원을 공식 발표했기 때문이다.
placeholder
상승률 상위 암호화폐: MemeCore 랠리 주도, Mantle·라이트코인 저항 돌파 시도MemeCore(M)가 지난 24시간 동안 25% 급등하며 암호화폐 시장의 반등을 주도했고, Mantle(MNT)과 라이트코인(LTC)은 각각 16%, 10% 상승하며 뒤를 이었다.
저자  FXStreet
8 월 05 일 화요일
MemeCore(M)가 지난 24시간 동안 25% 급등하며 암호화폐 시장의 반등을 주도했고, Mantle(MNT)과 라이트코인(LTC)은 각각 16%, 10% 상승하며 뒤를 이었다.
goTop
quote