December 5 2019

Dec. 5, 2019 (Allthingsforex.com) – The EUR bulls have been in charge for the last few trading sessions, however, today’s disappointing retail sales data, combined with a weak GDP report from the Euro-area, did little to offer further impetus to the recent euro rally.

October was a very poor month for European retailers with sales falling by 0.6% month over month, while year over year increase came up to only 1.4%, compared with 2.7% y/y in the previous month. That’s almost 50% drop in the annual reading, but it would be interesting to see if shopping for the Holidays would provide a much-needed boost in December’s retails sales figures.

The final GDP reading for Q3 2019 did not impress, either. Economic growth in the Euro-zone was confirmed at 0.2% q/q and held steady at 1.2% y/y.

In the last couple of days, the EUR has been trying to break decisively above $1.11 and the single currency continues to linger around this level at the time of this publication.

It is now up to tomorrow’s U.S. Non-Farm Payrolls report to offer the catalyst for the next more significant move in the EUR/USD exchange rate.

Forecasts point to an upbeat employment data with the U.S. economy expected to add 180k new jobs in November from 128k in October, while the unemployment rate remains unchanged at 3.6%.


USA