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Forex

Currency pairs technical review (April 11, 2014)

April 11, 2014, Friday, 10:14 GMT | 05:14 EST | 13:44 IST | 16:14 SGT
Contributed by Forex-Metal

Asian and European trading sessions:

Euro: The euro rose against the dollar on French data on industrial production and inflation. Inflation in France, agreed by EU methodology, slowed in March, mainly due to falling oil prices, data showed on Thursday statistical office Insee. Harmonised inflation (HICP) fell more than expected to 0.7 percent in March from 1.1 percent in February. It was expected that inflation will be 0.8 percent.

Annual consumer price inflation fell to 0.6 percent from 0.9 percent the previous month and remained below the expected 0.7 percent.

Food prices fell 0.2 percent, while the prices of petroleum products decreased by 6 percent. Meanwhile, the cost of clothing and footwear increased by 0.6 percent.

On a monthly measurement of consumer prices rose by 0.4 percent after rising 0.6 percent the previous month. At the same time, the HICP rose by 0.5 percent.

Basic consumer prices rose by 0.1 percent compared with the previous month, amounting to an annual increase of 0.4 percent in March.

French industrial production expanded slightly in February, data showed on Thursday Insee. Industrial production in the second -largest eurozone economy grew by 0.1 % in February from January. Analysts had forecast an average increase of 0.2%.

Reduced energy production and release in the oil refining industry restrained overall industrial production, while manufacturing output grew by 0.3%. On an annual basis, industrial production fell by 0.8 % after falling 0.1% the month before.

Support for the single currency had news that Greece has successfully returned to the debt markets. Today, Greece held the first since 2010 auction on sovereign debt, in which were placed 5 - year bonds worth 3 billion euros against 2.5 billion target average yield was 4.95 % against the expected 5-5.25 %. Vice Prime Minister of Greece, said after the auction that the “bond issue said that Greece's debt is acceptable.”

The EUR / USD pair rose to $ 1.3874 during the European session.

British Pound: The British pound is trading slightly lower against the dollar after the Bank of England left policy unchanged. The Bank of England did not bring any surprises , decided to leave its key rate at a record low of 0.5% , which she held for 5 years ( since March 2009 ), and a program of bond purchases in the amount of ? 375 billion. CB stated that it intends to keep rates low for at least as long as the b / p drops below 7%, and it is not expected before 2016. However, his representatives have repeatedly said that the mere drop rates b / d less than 7% will not be a direct incentive to improve. Minutes of the meeting will be published on Wednesday, April 23. The GBP / USD pair fell to $ 1.6766 during the European session.


American trading session:

Japanese Yen:
The yen rose against the dollar, which was associated with the release of data on the reduction of Chinese exports, which increased demand for “safe havens." The strengthening of the Japanese yen helped decrease expected to raise interest rates after the release of the Fed minutes of the meeting FOMC. The report showed that in March, China unexpectedly recorded a reduction in exports by 6.6 % compared with the same month last year, after falling 18.1 % in February, which was the worst since the financial crisis. Analysts expected export growth by 4.8%. While imports fell last month to 11.1% in February after rising to 10.1% , resulting in a trade surplus of $ 7.71 billion , according to the General Administration of Customs of China. Experts predicted import growth of 3.9% and a deficit of $ 0.9 billion, the Customs Administration of China announced that it expects to improve trade performance in the second quarter amid recovery in global demand. The USD / JPY pair fell to Y101.40.

Gold: Gold prices today rose markedly, reaching a two-week high at the same time as market participants continued to analyze published last minutes of the last meeting of the FOMC. The cost of the June gold futures rose to $ 1320.30 per ounce on the COMEX today.

Oil: Cost of oil futures fell slightly today, which was associated with the release of economic data for China. May futures for U.S. light crude oil, WTI fell to $ 103.29 a barrel on the NYMEX.