04, March 2014

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

The euro has been loosing ground versus its major counterparts since Friday. The pair EUR/USD lost 0.65 % yesterday. The investors were looking forward to the euro-zone consumer price index report for February, as it was uncertain whether the index decreases or remains at the same January level? As a result, the inflation report surprised traders by showing the value of 0.8 % in annual terms, it is better than median forecasts were. Analysts expected drastic measures from the ECB, now when the deflation threat is subsided - European regulator may once again weigh the "pros" and "cons" methods to resist the inflationary pressures.

The GBP/USD moderately grew amid the empty macroeconomic calendar. The USA released the second GDP estimate for the 4th quarter of the previous year. The figure came at around 2.4 % qoq, slightly worse than the forecast was. The slowdown in economic growth in December had a negative impact on the final revision of the GDP.

Japan published the whole block of macroeconomic statistics for January. It should be noted that despite the slowdown in economic growth in the 4th quarter of last year, the first month of 2014 was marked by positive reports. The retail sales and industrial production grew by 1.4 % and 4% respectively.