Home / Forex & Currency Exchange News / EUR/USD Attempts to Bounce After Drop on ECB Rumor

EUR/USD Attempts to Bounce After Drop on ECB Rumor

EUR/USD dropped today due to the rumor that the European Central Bank will lower its inflation forecast at the next policy meeting. The ECB will meet tomorrow, and markets were hoping for a hawkish policy statement after the gathering. Yet if the rumor proves true, the central bank will likely maintain its dovish stance. The currency has bounced by now and is attempting to reverse the decline on the back of the disappointing US consumer credit report, but with limited success so far.

US crude oil inventories rose by 3.3 million barrels last week and were in the upper half of the average range for this time of year. Forecasters were frustrated by the report as they have predicted a drop by 3.1 million barrels. The week before, the stockpiles shrank by 6.4 million. Total motor gasoline inventories also rose by 3.3 million barrels last week and were above the upper limit of the average range. (Event A on the chart.)

Consumer credit rose by just $8.2 billion in April, whereas analysts predicted an increase by at least $15.2 billion. The previous month’s increase was revised from $16.4 billion to $19.6 billion. (Event B on the chart.)

If you have any comments on the recent EUR/USD action, please reply using the form below.

Posted on Forex blog. Click Here For Original Source Of The Article

About Louie Lewis

Louie Lewis
Successful forex trading starts with you first. Then comes the actual strategies and techniques. I have been involved with forex and forex trading for a few years now. It is a wonderful way to build wealth. The learning never stops and I want to help others along their journey into this wonderful market of opportunity.

Check Also

Fibonacci Retracements Analysis 23.11

Fibonacci Retracements Analysis 23.11.2017 (AUD/USD, USD/CAD)

Article By RoboForex.com AUD USD, “Australian Dollar vs US Dollar” At the H4 chart, the AUD/USD pair is moving downwards and has already reached the retracement of 76.0%. The convergence may indicate a possible correction to the upside. The closest target are the retracements of 23.6%, 38.2%, and 50.0% at 0.7668, 0.7755, and 0.7825 respectively. […]

Leave a Reply

Your email address will not be published. Required fields are marked *