Confirming you are not from the U.S. or the Philippines

By giving this statement, I explicitly declare and confirm that:
  • I am not a U.S. citizen or resident
  • I am not a resident of the Philippines
  • I do not directly or indirectly own more than 10% of shares/voting rights/interest of the U.S. residents and/or do not control U.S. citizens or residents by other means
  • I am not under the direct or indirect ownership of more than 10% of shares/voting rights/interest and/or under the control of U.S. citizen or resident exercised by other means
  • I am not affiliated with U.S. citizens or residents in terms of Section 1504(a) of FATCA
  • I am aware of my liability for making a false declaration.
For the purposes of this statement, all U.S. dependent countries and territories are equalled to the main territory of the USA. I accept full responsibility for the accuracy of this declaration and commit to personally address and resolve any claims or issues that may arise from a breach of this statement.
Cancel Confirm
We are dedicated to your privacy and the security of your personal information. We only collect emails to provide special offers and important information about our products and services. By submitting your email address, you agree to receive such letters from us. If you want to unsubscribe or have any questions or concerns, write to our Customer Support.
Confirm
Octa trading broker Sign up Log in
Octa trading broker
Open trading account
Trading news
Back
3 Jan 2024

EUR/USD dips amid strong US data as market awaits Fed minutes

  • EUR/USD trades at around the 1.0900 lows, reacting to upbeat US ISM Manufacturing PMI and JOLTS job openings data.
  • Market anticipates potential policy easing in Fed's December FOMC minutes; six rate cuts priced in by futures data.
  • Germany's stable unemployment rate at 5.9% contrasts with busy EU and US economic calendars, including upcoming PMIs and jobs data.

The EUR/USD remained on the defensive since the first trading day of 2024, falling 0.27% on the day after economic data from the United States (US) suggests the economy remains robust, though the labor market cooled down. At the time of writing, the major is trading at 1.0910 after posting a daily high of 1.0965.

Euro struggles as US data signals robust economy

The US economic agenda revealed upbeat data. The Institute for Supply Management (ISM) announced December’s Manufacturing PMI improved to 47.4, above forecasts and November’s readings, but it remained in recessionary territory for 14 straight months. At the same time, the US Bureau of Labor Statistics (BLS), revealed the JOLTS report, which showed a slight increase to 8.79 million, below the anticipated 8.85 million.

Aside from this, traders are awaiting the release of December’s Federal Open Market Committee (FOMC) minutes. In that meeting, Fed officials opened the door to ease monetary policy in 2024, with the majority projecting three 25 basis points rate cuts toward the end of the year. Nevertheless, according to futures data from the Chicago Board of Trade (CBOT), market participants had priced in six rate cuts.

Meanwhile, Federal Reserve’s (Fed) speakers had begun to cross newswires, led by the Richmond Fed President Thomas Barkin. He said that although the US central bank is making real progress on curbing stickier inflation, and the economy remains robust, the risks of missing a soft landing remain.

Across the pond, the Eurozone’s (EU) economic docket featured Germany’s employment data, which showed the unemployment rate stood pat at 5.9%, as estimated by economists polled by Reuters.

Ahead of the week, the EU’s calendar will feature S&P Services and Composite PMIs on Thursday. In the US, Flash PMIs would be updated, and jobs data could rock the boat, with ADP and Initial Jobless Claims pending to be released.

EUR/USD Price Analysis: Technical outlook

The EUR/USD daily chart depicts the formation of a golden cross, which could pave the way for further gains, but a three-dark crows chart pattern could keep the pair downward pressured. Nevertheless, sellers failure to push prices below 1.0900, and buyers could lift the exchange rate to test a 32-month-old downslope trendline that passes around 1.1025/40.

 

Jan 3, 2024

GBP/USD floundering near 1.2650 as markets focus on US data

The GBP/USD is cycling near 1.2650, holding steady despite a lack of recovery from Tuesday’s sharp decline.
Read more Previous
Jan 3, 2024

USD/CHF advances after US mid-tier economic figures, bulls momentum still limited

In Wednesday's trading session, the USD/CHF pair exhibited a bullish stance but failed to hold its momentum, which took it to a high of around 0.8555 and stabilized at 0.8515.
Read more Next