EU Morning Report - Euro testing lower levels
By NikolasX | February 5, 2013 7:28 PM EST
The euro (EUR) slid against the US dollar (USD) to 1.3477 without any support after failing to push above 1.3700. The single currency has approximately dropped one percent as political turmoil in the continent is proving detrimental to the confidence created. Silvio Berlusconi once more appeared to the forefront of attention, as he gains ground in the polls for Italy’s upcoming election and is causing jitters to the markets. At the same time Spanish Mariano Rajoy’s corruption allegations, pressuring the euro, are proof that politics is driving economics.
§ WTI Crude (OIL) shows signs of reversing its upward trend after falling to 95.98. The energy slipped lower from its pennant formation indicating a change of direction from the high of 98.00. Lower oil and gas production by major producers indicates oversupply of the commodity to some.
§ The euro (EUR) corrected against the Japanese yen (JPY) finding some support at 124.10. The move comes after the single currency moved to its highest level against the yen in two and a half years.
§ The UK100 (FTS), which tracks the largest 100 British companies, found support after its sky fall from 6317 to 6200 losing over 100 points, amid weaker earnings.
Stay in tune throughout the day with foreign exchange bullets!
|.||EURUSD||1.3540||SHORT @ 1.3540||38% of deals buy EUR|
|.||USDJPY||91.95||LONG @ 91.95||47% of deals buy USD|
|.||GBPUSD||1.5775||SHORT @ 1.5775||61% of deals buy GBP|
|.||AUDUSD||1.0440||LONG @ 1.0440||66% of deals buy AUD|
|.||GOLD||1660||LONG @ 1660||69% of deals buy GOLD|
|.||OIL||98.20||SHORT @ 98.20||71% of deals buy OIL|
|.||EUR||08:15||Italian Services PMI||45.9|
|.||GBP||09:30||UK Services PMI||49.8|