Previous:
On Wednesday, trading on the euro closed up. After the release of statistics in the US, the euro fell to 1.0521. The first set of released figures was excellent news for the dollar. Inflation and retail sales exceeded expectations and US 10-year bond yields reached 2.5238%.
The index for industrial production was released later in the day, which had a negative value, to everyone’s surprise. In addition, the figure for the previous month was downgraded, 10-year bond yields reversed downwards and the EUR/USD rate restored to 1.0609.
US statistics:
- The NY Empire State Manufacturing Index for February came out at 18.7 (forecasted: 7.5, previous figure: 6.5).
- The index for retail sales for January came out at 0.4% (forecasted: 0.2%, previous figure: 1.0%).
- The index for non-auto retail sales for January was 0.8% (forecasted: 0.4%, previous figure: 0.4%).
- The Consumer Price Index for January was 0.6% (forecasted: 0.3%, previous figure: 0.3%). The Consumer Price Index for January excluding food and energy came to 0.3% (forecasted: 0.2%, previous figure: 0.2%).
- The index for industrial production fell to -0.3% (forecasted: 0.1%, the previous figure was downgraded from 0.8% to 0.6%).
Market expectations:
The euro is continuing to strengthen in Asia. On the hourly timeframe, buyers  have broken through the trend line. The EUR/USD rate rose to 1.0623. Then, the dollar started to undergo a correctional phase. The immediate target is 1.0650. For Thursday, there’s nothing important expected in the news. Traders will be basing their decisions on the dynamics of US bond yields, which are down by 0.66% at the moment.
Day’s news (GMT+3):
- 16:30 USA: building permits (Jan), Philadelphia Fed manufacturing survey (Feb), jobless claims (3-10 Feb), housing starts (Jan);
- 17:00 Eurozone: ECB board member Benoît CÅ“uré’s speech;
- 18:30 USA: EIA natural gas storage change (Feb 10).
EURUSD rate on the hourly. Source: TradingView
