Daily market review 14 March

13:00 ** ZEW Survey (Current Situation) – Germany (March)

13:00 ** ZEW Economic Sentiment – Eurozone (March)

According to the average forecasts of economists, the level of sentiment in the German business environment, may increase. Forecast confirmation is favorable for the euro. The market reaction to this report is short. In case of an unexpected deviation from the forecast, EUR volatility may increase.

115:30 *** Producer Price Index – USA (February)

15:30 ** Core PPI – United States (February)

The positive dynamics of these indicators is favorable for the euro. Exceeding the forecasted values ​​could significantly support USD at the publication report moment. Weak statistic indicators are able to provoke a sufficiently active USD sell, as they will call into question the readiness of the FOMS to raise the rate on Wednesday, March 15.

EUR / USD

The EUR suffered losses against the USD at the beginning of the European session, this is he reaction on news from the UK about the approval of the parliament by the bill to launch Brexit. Now we are waiting the statistics from Germany regarding the change in the economic sentiment index from the ZEW institute, which may change the dynamics of the EUR/USD pair in case of a index positive change.

The rhetoric of the official representatives of the United Kingdom and the EU regarding Brexit is still in the limelight, and the mood at the American session regarding the upcoming US FRS meeting tomorrow on rates will be interesting too. Will the Fed not be afraid to change its monetary policy under such conditions?

According to the site of the Chicago Mercantile Exchange for yesterday, the supporters of the rate increase became even more: 93% by 7%.

USD / JPY

We decided yesterday to be safe, do not sell USDJPY – and not in vain. The sellers did not have enough motivation for a deep correction in the pair, which only confirms the concentration of interests around the decision on the rate of the Fed on March 15.

GBP / USD

The outlook for the British currency is not so good, as the willingness and determination of the authorities to BREXIT, was confirmed. Technically, the picture remains favorable for GBPUSD sale.

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