Positive euro-zone data boosts common currency
- Last Updated on 09 February 2012
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Positive euro-zone manufacturing data, combined with fresh hopes that Greece will soon come to a debt swap agreement with its creditors, boosted risk taking in the markets yesterday. The euro saw gains across the board as a result, and the EUR/USD once again crossed the psychologically significant 1.3200 level. The EUR/JPY, which had only recently hit record lows, jumped over 100 pips over the course of the day.
In addition to any announcements out of the euro-zone today, traders will also want to pay attention to a batch of US news that is likely to generate market volatility. A speech from the US Fed Chairman at 15:00 GMT is likely to generate the biggest market movements. Any comments which reinforce the idea that the US economic recovery is stalling are likely to give the euro an additional boost ahead of the all important US Non-Farm Payrolls on Friday. Traders will also want to note the weekly US Unemployment Claims figure, as it is also likely to give clues as to the state of the US economy.