EUR – The Single Currency Has Its Backers

European releases on Friday were light and today only the Sentix Investor Confidence reading will be released for the continent. The EUR has managed to continue to make strides against the USD and its backers appear to be growing in confidence. Data has taken a back seat in Europe as risk appetite has increased. While economic statistics continue to point out that stagnation will be a fly in the ointment for Europe, the fact that there has been negative news from the U.S. regarding its own data, has given some balance to the trading perspective of market participants looking to take advantage of what they have seen as a EUR that was oversold on Sovereign Debt concerns. Tomorrow German inflation results will be brought forth along with French Industrial Production numbers. It is likely that the EUR will continue to trade in a dollar centric manner the next two days with the FOMC meeting from the States standing in the shadows. The EUR is bouncing near highs taking into consideration that only two months ago it was under so much pressure.

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