The Euro has no strengths to escape “bears”. Overview for 07.12.2017

One way or another, the main currency pair is being sold for the fifth consecutive trading session; the only hope for the Euro is the statistics.  

The EUR/USD pair is still being sold on Wednesday afternoon. The current quote for the instrument is 1.1793.

There were enough macroeconomic reports on Thursday morning and afternoon, and there will be more in the evening. At first, Germany reported on the Industrial Production, which decreased by 1.4% m/m in October after losing 0.9% m/m the month before. It’s not the best signal for the German economy – consumption is slowing down and may influence the GDP growth in a negative way.

The Eurozone’s preliminary GDP report in the fourth quarter published in the afternoon showed the expansion by 0.6% q/q, the same as expected.

Yesterday’s ADP Non-Farm Employment Change report showed that the indicator expanded, but slower than before, as it increased by 190K in November after adding 235K in the previous month and against the expected reading of +189K.

Another report, although it attracted little attention, was very interesting. The Revised Nonfarm Productivity increased by 3.0% q/q in the third quarter, the same as in the second one. However, the indicator was expected to add 3.3% q/q. Along with this, the Revised Unit Labor Costs in the same quarter lost 0.2% q/q after adding 0.3% q/q the quarter before and against the expected reading of +0.2% q/q. The decline of the indicator may well be explained by the weak Average Hourly Earnings and the Consumer Spending.

The key statistics on the US employment market will be published on Friday. This is when one should expect the main currency to become more dynamic.

RoboForex Analytical Department