On Tuesday afternoon, the main currency pair is trading a little bit downwards; investors are looking for support.
The Euro is slightly falling against the USD on Tuesday. The current quote for the instrument is 1.2290.
Today’s macroeconomic reports from the Euro Area weren’t impressive. The French Markit Manufacturing PMI increased from 53.6 points in February to 53.7 points in March. The same indicator for Spain decreased over the same period of time from 56.0 points to 54.8 points, for Italy – from 56.8 points to 55.1 points, for Germany – from 58.4 points to 58.2 points. For the entire Euro Area, the indicator remained unchanged at 56.6 points.
However, these reports didn’t surprise anyone, because they just confirmed the trend that started earlier, and investors barely paid attention to them.
For the USA, the macroeconomic calendar is empty for today. The only expected event is the speech of the FOMC member Brainard.
In the short-term, the most important thing for EURUSD will be evaluation of external risks: if investors see some hints at aggravation of the “USA-China” situation, they will turn their backs on the American currency. At the same time, open discussions relating to trade and economic relations with Japan may make things a little bit better.
RoboForex Analytical Department