EUR/USD Fundamental Analysis November 18, 2013 Forecast

Analysis and Recommendations:

The EUR/USD moved between small gains and losses today to trade at 1.3453 down by 5 pips at this writing. The eurozone CPI met expectations but did not help support the euro today. Price action for the major global currency pairs during the latter part of yesterday’s session was driven by the major topic of the moment – Quantitative Easing. Federal Reserve Chairperson Incumbent, Janet Yellen, was responsible for triggering a flurry of activity during the middle part of the North American equities session when she faced questioning from the US Senate banking committee. When pressed, Yellen categorically pinned her colors to the mast and came out strongly in support of a continuation of QE in the States, observing that it represented, “the surest path to returning to a more normal approach to monetary policy.”

The U.S. dollar continued to make gains against the euro on Friday in European trading amid growing expectations that the Federal Reserve will stick with its easy-money policies, while European stocks wavered in a tight range.

Italy’s 10-year bonds declined for the first time in three days after the European Union Commission said the nation’s budget plan doesn’t respect its 2014 debt targets.

Spanish securities also dropped as the EU said that, while the government in Madrid has taken effective action on its deficit, it too may miss its 2014 target. The extra yield investors demand to hold Italian 10-year debt instead of German government bonds climbed from a three-week low as a euro-area report confirmed that inflation slowed to the least in four years last month.

FxEmpire provides in-depth analysis for each currency and commodity we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information in our weekly reports.

Economic Data November 15, 2013 actual v. forecast

 

Upcoming Economic Events that affect the CHF, EUR, GBP, CAD and USD

Government Bond Auction

Date Time Country 

Nov 18 10:00 Slovakia

Nov 19 09:30 Spain

Nov 19 10:30 UK

Nov 19 15:30 UK

Nov 20 10:30 Portugal

Nov 20 15:30 Sweden

Nov 21 09:30 Spain

Nov 21 09:50 France

Nov 21 10:10 Sweden

Nov 21 10:30 UK

Nov 21 10:50 France

Nov 21 12:00 Norway

Nov 21 16:00 US

Nov 21 16:30 Italy

Nov 21 18:00 US

Nov 22 16:30 Italy