The Euro remains “in the black”. Overview for 12.07.2019

EURUSD remains attractive to buyers; investors’ attitude towards the USD is quite cautious. 

The major currency pair is trading upwards on Friday. The current quote for the instrument is 1.1274.

The numbers published by the USA yesterday showed that the Core CPI added 0.3% m/m, which is better than average expectations. The CPI expanded by 0.1% m/m and supported the USD, because it wasn’t expected to change at all. It’s clear that this slight revival in the inflation won’t prevent the US Federal Reserve from cutting the benchmark rate during its July meeting, but it is still very positive. 

In Europe, the ECOFIN Meetings continue. 

In the afternoon, the Euro Area will report on the Industrial Production for May, which may recover by 0.2% m/m after losing 0.5% m/m in April. The indicator is very unlikely to properly support the Euro, but as long as market players aren’t feeling for the American currency, even this report may help. 

In the evening, the USA are scheduled to report on the PPI for June, which may add 0.1% m/m. However, this report is neutral.