Tuesday, 17 July 2018
Jakarta
--:--
Tokyo
--:--
Hongkong
--:--
New York
--:--
EUR/USD: Corrective rally faltered ahead of US CPI release
Thursday, 12 July 2018 12:20 WIB | MARKET UPDATE |EUR/USD

The EUR/USD's corrective rally faltered on Wednesday and the pair could revisit recent lows near 1.15 should the US inflation numbers, scheduled for release at 12:30 GMT, beat estimates.

As of writing, the currency pair is trading at 1.1675 - down almost 1 percent from the weekly high of 1.1791 hit on Monday.

The common currency fell back below the bearish (descending) 50-day moving average (MA) on Wednesday, signaling the corrective rally from the June 21 low of 1.1508 has ended. The retreat could be associated with the broad-based USD rally, triggered by a sharp rise in the USD/CNY and USD/JPY pair and stellar US producer price index (PPI) figure.

Focus on inflation differential

The German final CPI release, due at 06:00 GMT, is expected to confirm that cost of living, as represented by the consumer price index (CPI), rose 2.1 percent year-on-year in June.

Meanwhile, across the pond, the CPI is expected to have risen 2.9 percent year-on-year in June. The core CPI has likely risen to 2.3 percent year-on-year from the previous month's print of 2.2 percent.

The EUR/USD pair could extend the decline further towards 1.16 if the inflation differential rises (US CPI beats estimates and German CPI is left unrevised or is revised lower) in the USD-positive manner. On the other hand, a below-forecast US CPI could put a bid under the EUR/USD pair.

EUR/USD Technical Levels

Resistance: 1.1721 (50-day moving average), 1.1791 (Monday's high), 1.1852 (June 14 high).

Support: 1.1665 (previous day's low), 1.16 (psychological support), 1.1508 (June 21 low).

RELATED NEWS
U.S. Stock Futures Fight For Direction Ahead of Powell Testimony, More Earnings...
Tuesday, 17 July 2018 16:58 WIB

Indeks saham berjangka AS diperdagangkan dalam kisaran ketat Selasa ini, menandai hari lain dengan pergerakan yang keluar masuk dari wilayah positif karena investor menunggu laporan labayang  leb...

Asian Stocks Mixed as Investors Wait for Powell's Testimony...
Tuesday, 17 July 2018 16:02 WIB

Ekuitas Asia bervariasi karena investor menunggu pidato dari Ketua Federal Reserve Jerome Powell pada Kongres Selasa ini. Indeks MSCI Asia Pacific sedikit berubah di 165,29 pada 04:45 sore di Hong Ko...

Hong Kong Stocks Dive, Energy Firms Hit by Oil Losses...
Tuesday, 17 July 2018 15:30 WIB

Saham-saham Hong Kong merosot lebih dari satu persen pada hari Selasa, dengan perusahaan-perusahaan energi merupakan yang mengalami penurunan paling parah karena mereka mengikuti penurunan tajam harga...

Shanghai stocks extend declines, energy firms lead losses...
Tuesday, 17 July 2018 14:30 WIB

Saham China berakhir lebih rendah pada hari Selasa, dengan indeks acuan Shanghai terjerembab di zona merah untuk sesi ketiga beruntun, terseret oleh perusahaan energi menyusul penurunan tajam dalam ha...

European stocks open mixed amid earnings; Fed's Powell to address Congress...
Tuesday, 17 July 2018 14:18 WIB

Saham di Eropa dibuka bervariasi pada hari Selasa seiring investor menunggu rilis laporan perusahaan dan pernyataan lebih lanjut bos Federal Reserve Jerome Powell. Stoxx Europe 600 dibuka datar di le...

POPULAR NEWS
Wall. St. Sees More Weakness In Gold Price; Main St. Leans Bullish

Wall Street looks for the recent slide in gold...

Gold books back-to-back loss to finish around 2018's lows

Gold prices on Monday fell for a second straight...

Trump Labels Russia, China and Europe as 'Foes'

U.S. President Donald Trump is branding Russia,...

LATEST NEWS
US Sends Another $6 Million to Help Colombia Cope with Venezuelan Refugees

The Trump administration is sending another $6 million in humanitarian aid to Colombia to help it deal with the more than 1 million Venezuelans who have fled across the border. U.S. Agency for International Development chief Mark Green made the...

Oil Steadies After Slump as Traders Still Wary on Supply Risks

Oil steadied after another sharp pullback as traders remained wary over whether supplies will be sufficient to cover a range of global disruptions. Futures in New York traded near $68 a barrel, having tumbled 4.2 percent on Monday as Libya...

Gold Trades Near Year's Low Ahead of Powell Testimony

Gold remains near lowest level this year ahead of Federal Reserve Chairman Jerome Powell™s testimony, which may give insight into pace of tightening, impact of trade tensions. Investors exited exchange-traded funds for fifth...