EUR/GBP breaks below 200-DMA support and drops to two-month low, around 0.8400 mark – by HareshMenghani EURGBP Recession BOE GDP Currencies
sequent downtick dragged spot prices to a nearly two-month low, around the 0.8410-0.8405 region during the early European session.
Investors remain concerned that the energy crisis in Europe could drag the region's economy faster and deeper into recession. The Eurozone is also facing the risk of broadening fragmentation amid the recent sharp rise in borrowing costs of more indebted countries because of the European Central Bank's tightening plan. This was seen as a key factor behind the shared currency's relative underperformance and exerted some downward pressure on the EUR/GBP cross.
in August and drew additional support from Wednesday's upbeat UK macro releases. The UK Office for National Statistics that the economy recorded a growth of 0.5% in May as against a flat reading expected. This also marked a sharp rebound from the 0.3% contraction reported in April and was accompanied by stronger data from the UK industrial sector.
In fact, the UK manufacturing output rose by 1.4% MoM in May as against 0.1% expectations and the 0.6% fall booked in April. Adding to this, the total industrial output also surpassed estimates and jumped 0.9% in May from the 0.1% decline in the previous month. Apart from this, subdued US dollar price action was seen as another factor that benefittedWith the latest leg down, spot prices now seem to have confirmed a near-term bearish breakdown below a technically significant moving average.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Fuel theft spills 200 gallons of diesel into Bear CreekLakewood police are searching the person responsible for a fuel theft that led to about 200 gallons of diesel spilling near Bear Creek. via CB_Cotton
Read more »
TXT Becomes 1st K-Pop Artist To Spend 8 Weeks On Billboard 200 With 2022 AlbumOver two months after its release, TXT climbed back up multiple Billboard charts this week with their latest mini album “minisode 2: Thursday’s Child“! “minisode 2: Thursday’s Child,” which first debuted at No. 4 on the Billboard 200 back in May, has now become the first K-pop album of 2022 to spend eight weeks on
Read more »
'Pristine' 200-year-old mine uncovered, plus personal items workers left behindA 200-year-old 'pristine' cobalt mine has been discovered in Cheshire, northwest England, revealing a trove of personal objects left behind by workers.
Read more »
EUR/GBP stabilizes around 0.8450, downside remains favored on ECB-BOE policy divergenceThe EUR/GBP pair is consolidating in a narrow range of 0.8439-0.8446 after a perpendicular downside move. The asset is auctioning in a balanced market
Read more »
EUR/USD remains steady, at the brink of parity around 1.0040 as the greenback weakensEUR/USD remains steady, at the brink of parity around 1.0040 as the greenback weakens – by christianborjon EURUSD Majors Macroeconomics Fed Inflation
Read more »