EURUSD is correcting. Overview for 10.03.2020
After updating its multi-month highs again, the major currency pair switched to an expected correction.
The Euro is correcting against the USD on Tuesday morning. The current quote for the instrument is 1.1360.
It’s quite interesting that financial panic that “flooded” global markets yesterday supported the major currency pair, which was testing 1.15. A quick spread of the Chinese coronavirus in Italy, one of the most financially troubled countries in Europe, doesn’t scare Euro investors and that’s, to put it mildly, quite unusual.
The statistics published yesterday were not too positive. The Sentix Investor Confidence dropped to 17.1 points in March after being 5.2 points before. The report turned out to be an excellent indication of what is happening in the Area’s financial system.
The German Industrial Production added 3.0% m/m in January after losing 2.2% m/m in December and against the expected reading of +1.7% m/m. A good report.
Later in the evening, market players will watch, if they calm down a bit, of course, the January Industrial Production reports from Italy and France. Another thing worth paying attention to is the revised GDP of the Euro Area for the first quarter of 2020, which may show +0.1% q/q.