Good figures sent the Euro higher today, but failed to take it out of the range. How long will this last? Are the dollar bulls ready to rage?
Preliminary GDP proved correct in Germany. The 0.7% growth that was reported for Q3 was confirmed today with the final GDP release. German Ifo Business Climate exceeded expectations and rose to 93.9 points, the highest in 15 months. This is a very important survey.
Also the continent’s second largest economy, France, Consumer Spending rose by 1.1%, more than double the early expectations. Completing the series of publications from Europe was the Industrial New Orders, that also exceeded the early expectations and rose by 1.5% (0.7% expected).
Did this help the Euro? Yes. EUR/USD was trading under 1.49 earlier this morning, and it’s now at above 1.4950. Is it still stuck in range? The answer is also yes.
An attempt to break 1.50 failed yesterday, and today’s figures didn’t help as well. This range trading, between 1.48 to 1.5050 is going on for 3 weeks. Are the bears getting warm for the winter?
For more on the Euro, read the EUR/USD forecast.
