Forecasts
Forex Guides
Members

EUR/USD Update – Euro Gains on Manufacturing Expansion; Australian Dollar Drops



Good day forex traders and readers.

As we head into midweek, the various economic data are being released. As per the report below, Euro Zone data appears optimistic for now and the EUR/USD climbed.

This adds on to the largely bullish sentiments we are noting since the week started. Continue to monitor the support and resistance lines. Immediate resistance may be 1.3240 / 1.3280.

Find below a good reading from Bloomberg.

 

The euro advanced against the majority of its most-traded peers after purchasing-manager indexes showed manufacturing in the 17-nation bloc unexpectedly expanded in July, bolstering demand for the region’s assets.

The shared currency touched a one-month high against the dollar before erasing gains as U.S. Treasury 10-year note yields jumped the most since July 5. The euro briefly extended losses versus the dollar as U.S. new-home sales climbed. Australia ’s dollar slid after manufacturing contracted in China , the nation’s biggest trading partner. A gauge of volatility among Group-of-Seven currencies rose for the first time in 10 days.

“To the extent that the PMIs in Europe came out better than expected, that’s probably helping the euro,” Robert Lynch , a currency strategist at HSBC Holdings Plc in New York, said in a phone interview. “For the Aussie, the China data matters.”

The euro advanced as much as 0.3 percent to $1.3256, the highest level since June 20, before trading little changed at $1.3221 at 10:14 a.m. New York time. It fell as much as 0.2 percent. The common currency gained 0.8 percent to 132.55 yen and touched 132.74, the strongest since May 23. The dollar rose 0.8 percent to 100.25 yen.

JPMorgan Chase & Co.’s G-7 Volatility Index , a measure of currency fluctuations, rose to 9.4 percent after touching 9.11 percent earlier, the lowest since May 9. The gauge climbed to this year’s high of 11.96 percent on June 24.

The European currency may gain to $1.34 by the end of next week should positive developments continue, said Steve Barrow , head of Group of 10 research at Standard Bank Plc in London . He said he’s using the euro’s recent strength to sell it. ‘Upside Surprises’

The euro has risen 2.8 percent in the past three months, […]

Invest In Yourself And Get Premium Analysis
Less than 20 cents a day
Major Currency Pairs Analysis
Forex Sentiment Analysis
Understand The Market
10 days money back guarantee

View Subscription Options

Would you like to connect?
Get notifications on new forecasts and articles.

Sign up to our emailing list and get your FREE Stop Losing and Start Winning in Forex Checklist!

Trending Forex Articles

  • eur usd weekly forecastEUR/USD Update – Euro Gains on Manufacturing Expansion; Australian Dollar Drops
  • EUR/USD Update – Euro Gains on Manufacturing Expansion; Australian Dollar Drops
  • EUR/USD Update – Euro Gains on Manufacturing Expansion; Australian Dollar Drops
  • Retail forex traders open positionsEUR/USD Update – Euro Gains on Manufacturing Expansion; Australian Dollar Drops
  • EURUSD Weekly ChartEUR/USD Update – Euro Gains on Manufacturing Expansion; Australian Dollar Drops
  • EUR/USD Update – Euro Gains on Manufacturing Expansion; Australian Dollar Drops
TheGeekKnows