23, April 2013

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

Last week finance ministries representatives and central banks of individual countries met. During these meetings, representatives of the German authorities defended the position of Germany which is against the easing of economic reform in Europe.

According to them, there are signs that these reforms lay the foundation for the growth of the European economy. German Finance Minister Wolfgang Schaeuble and Bundesbank President Jens Weidmann told reporters on Friday that Big 20 generally supported the view that the situation in the euro zone became more stable.

A large amount of economic data from the eurozone, the UK and the U.S. will fill speculation about the future course of the monetary policy in the major industrialized countries, said Caroline Hecht, an analyst at Commerzbank.

As for the euro, Hecht noted that the PMI index for the euro area may interrupt the current sideways trend for EUR/USD, as the economic development will determine the course of central bank policies.