The Euro Is Under Pressure After the ECB Meeting

The euro fell significantly against the basket of major currencies after the ECB meeting. Fall in the EUR/USD quotes exceeded 250 points. The regulator plans to complete the quantitative easing program in December 2018. The Central Bank left interest rates unchanged and said that it is not going to raise them until mid2019. The speech by Mario Draghi, President of the European Central Bank, also hit the euro. The official said that the slowdown in the economic recovery in the Eurozone was not temporary, but also reached a global level. The ECB lowered the forecast for economic growth in the Eurozone from 2.4% to 2.1% this year.

Positive economic reports support the demand for the American currency. In May, the core retail sales index rose to 0.9% against the forecasted 0.5%. The volume of retail sales rose to 0.8%, while investors expected a value of 0.4%. The US dollar index (#DX) updated the monthly high and closed in the positive zone (+1.15%). The Bank of Japan, as expected, kept the key interest rate at the previous level of0.10%. The regulator plans to adhere to the current rate of monetary policy.

The “black gold” prices are stable. At the moment, futures for the WTI crude oil are testing a mark of $66.80 per barrel.

Market Indicators

Yesterday, there was a variety of trends in the US stock market: #SPY (+0.25%), #DIA (0.08%), #QQQ (+1.01%).

At the moment, the 10year US government bonds yield is at the level of 2.932.94%.

The consumer price index in the Eurozone at 12:00 (GMT+3:00).

by JustMarkets, 2018.06.15