Fundamental Analysis: March 11
On Thursday, the sole European currency was limelighted. Aiming to support the economy in a low inflation environment, the European Central Bank (ECB) had to improve its measures. The primary news for the day were the Bank's resolution regarding monetary policy and Mario Draghi's press conference.
The ECB was certain that monetary policy should be simplified yet the new rate cuts would not be going to happen as the regulator made it clear. It has been expected that the ECB cut its deposit rate by 10 points.
In comparison to the previous month data of 20,3 billion, the Germany issued Trade Balance that occurs at 18,9 billion. These data was changed upwards to 18,8 billion. For the last month, an increase rate of 19,6 billion is what the experts anticipated.
The Bank of England is not willing to grow the interest rates in conformity with the British macroeconomic data.In a few months, the UK shall manage a referendum on the UK exit from the EU. This also cause the British pound to be under pressure. The growth can be regarded as a consolidation from being low for seven years.
In spite of the increasing risks when the Consumer Price Index of China turned out better than what was expected, the Japanese currency became under pressure. Meanwhile, the US has issued the Initial Jobless Claims. The index showed 259,000 wherein the economists had expected a decrease from 277,000 to 275,000.
Andrea ForexMart, Official Representative