The EUR turned in a day of stability as it gained in value against the USD. CPI data from across Europe met expectations head on. Today the German ZEW Economic Sentiment is on the calendar and will be of interest to investors, the report carries an estimated reading of 20.9. Economic data from Europe after today’s report will be very light and it is quite feasible that the EUR will find itself under a dollar centric mode. However, questions have started to arise once again about the ability of the E.U. to manage what is becoming a divergent continent regarding GDP. While Germany continues to march on and be the engine ‘that can’ for Europe, Greece continues to struggle and Spain is not far behind. The question that investors are asking is what will become of the E.U. if another downturn were to take place and the tax base withers. The EUR was able to have a day in the sun yesterday, but it is likely that the Single Currency’s range will get tested today.
Written by bforex.com