Euro Extends Losses as German GDP Shrinks by Twice as Much as Expected

Support: +44 (0) 203 301 0483 | support@financialspreads.com
Financial Spreads: Spread Betting and CFD Trading


Forex Trading

: 15 August 2014

A weak German growth figure, which showed GDP shrinking at twice the rate that analysts had forecast, shows that Europe is some way from recovery and is unable to absorb any geopolitical concerns.

Given this, the euro is continuing to struggle, with the EUR/USD pair heading towards a one-year low of $1.30.



Forex Trading

: 14 August 2014

The market bears still have a stronghold on the euro, dragging EUR/USD down to its lowest level since November.

With all the geopolitical risk in Europe, investors are still turned off by the single European currency.

There is also some speculation that additional ECB stimulus may be on the cards for Europe if growth continues to be stagnant and inflation slows further.



Forex Trading

: 13 August 2014

Yesterday's figures did not provide great news for anyone within the Eurozone.

The European economy seems to be pretty far from its recovery target, with poor investor confidence in Germany following the recent news that Italy has re-entered recession.

All eyes will be on Mario Draghi and the ECB to find a solution.

For now though, the EUR/USD pair maintained its downward trend to trade around the $1.336 mark.



Forex Trading

: 12 August 2014

The euro continued to weaken against the dollar as tensions seemed to ease between Russian and Ukraine.

Coupled with news of US air strikes in Iraq, the dollar is looking increasingly strong, also dragging the Japanese yen back from an almost 3 week high.



Forex Trading

: 11 August 2014

The dollar has managed to hold onto its gains from last week as traders look for more economic data to fuel the bulls.

Given that US retail sales are expected to have grown for a sixth consecutive month, and that tensions are subsiding between Ukraine and Russia, the dollar is looking pretty strong.

For now though, the EUR/USD pair is trading fairly flat around the $1.34 level.


By Jonathan Sudaria, 15 August 2014


Contact Customer Support

+44 (0) 203 301 0483
support@financialspreads.com

Also see:
73% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.
Spread betting & CFDs trading are complex instruments & come with a high risk of losing money rapidly due to leverage. 73% of retail investor accounts lose money when trading these products with this provider. You should consider whether you understand how these products work & whether you can afford to take the high risk of losing your money. Click here to see the risk warning notice.