EURUSD Movement
For the 24 hours to 23:00 GMT on Friday, EUR declined 0.22% against the USD and closed at 1.2713, as Italian and French industrial output data disappointed investors.
The consumer price index (CPI) in Germany rose 2.0% (YoY) in October, matching preliminary estimates. Additionally, harmonized CPI rose 2.1% in October, in line with flash estimates. Meanwhile, industrial production in France fell 2.7% (MoM) in September, compared the 1.9% rise recorded in the previous month. Also, industrial production in Italy fell 4.8% (YoY) in September, compared to a 5.2% fall recorded in the previous month.
Separately, on Friday, wholesale inventories in the US rose by 1.1% in September, following an upwardly revised 0.8% increase in August. Meanwhile, the preliminary reading on the consumer sentiment index for November stood at 84.9 compared to the final October reading of 82.6. Separately, import prices rose by 0.5% (MoM) in October, following a 1.1% increase in September.
In the Asian session, at GMT0400, the pair is trading at 1.2728, with the EUR trading 0.12% higher from Friday’s close.
Meanwhile, the Greek Parliament passed the budget by a 167-128 vote in the 300-member Parliament. Moreover, the Greek Prime Minister, Antonis Samaras, pledged that the spending cuts would be the last Greeks have to endure.
The pair is expected to find support at 1.2682, and a fall through could take it to the next support level of 1.2636. The pair is expected to find its first resistance at 1.2782, and a rise through could take it to the next resistance level of 1.2836.
Trading trends in the pair today are expected to be determined by the release of the wholesale price index in Germany. Moreover, the Euro-group meeting scheduled later today is also likely to receive increased market attention.
The currency pair is trading between its 20 Hr and 50 Hr moving averages.
