The Euro has climbed by a small amount against the US Dollar today, although the Greek debt crisis remains a limiting factor on Euro demand.
- EUR USD rate advances to 1.07 – USD EUR rate falls to 0.93
- Euro bolstered by record German trade balance – Greek unemployment remains high
- US Dollar drops on sessions appointment – Donald Trump sparks impartiality concerns by defending daughter
- Future Euro movement tied to French industrial figures – US Fed speeches incoming along with consumer confidence score
US Dollar demand has waned after the approval of a controversial Trump pick for Attorney General, as well as Trump’s latest dubious behaviour on social media.
Euro Appreciation seen after German Trade Surplus Hits Record High in 2016
Eurozone data out today has been somewhat limited, but this hasn’t prevented a EUR USD exchange rate advance.
On the positive side, despite the German trade surplus for December slipping from 22.7bn to 18.7bn, this figure has still been better than 2015’s result covering the same month.
On the downside, Greek ecostats have put further pressure on officials to find a rapid solution to crippling national debt, with annual industrial production in December falling slightly and unemployment in November remaining extremely high at 23%.
US Dollar sees High Volatility as Controversial Attorney General is Appointed
The US Dollar Euro exchange rate has trended negatively today, in the wake of the latest of President Trump’s political decisions.
Jeff Sessions, a controversial choice by Trump, has finally been made Attorney General, following a bitterly divided Senate vote. Sessions’ appointment is just another nail in the coffin for some observers, who have cited Sessions’ opposition to open immigration policies as a sign that further restrictions on entering the US could be on the way.
Trump himself has also come under fresh criticism lately, with a defence of his daughter’s clothing brand after it was dropped by a retailer being seen as highly biased behaviour in the nation’s highest office.
Future EUR USD Forecast: Fed Commentary could Boost US Dollar Demand Today
From the Eurozone, Friday morning will bring French and Italian industrial production results for December, which are both forecast to fall.
The next US economic news will consist of a pair of Fed speeches from James Bullard and Charles Evans, which are expected over this afternoon and evening respectively.
While Fed officials have previously been hawkish about a near-term rate hike, the continued controversies emerging from the still-fresh Trump administration may yet give them pause for thought.
Closing major US announcements on Friday will be the University of Michigan consumer sentiment score for February, which is forecast to dip from 98.5 to 97.9.
Current EUR USD Interbank Exchange Rates
At the time of writing, the Euro US Dollar (EUR USD) exchange rate was trending in the region of 1.07 and the US Dollar Euro (USD EUR) exchange rate was trending in the region of 0.93 today.