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17 Jul 2015
EUR/USD hits fresh lows after US CPI, housing data
FXStreet (Córdoba) - Following a quiet phase, EUR/USD came under renewed pressure and fell to fresh daily lows dragged by a stronger dollar following the release of a series of US data.
US CPI and housing data underpin the dollar
US consumer prices rose 0.3% in June and 0.1% year-over-year, as expected, while excluding food and energy, the so-called core prices rose 0.2% MoM and 1.8% YoY, matching forecasts. Meanwhile, US housing starts rose 9.8% to 1.174 million versus 1.127 million expected and building permits climbed 7.4% to 1.343 million.
Upbeat data gave the greenback a boost and sent EUR/USD to s fresh daily low of 1.0860 from 1.0885 before the data. However, EUR/USD has managed to hold above yesterday’s lows around 1.0855. At time of writing, the pair is trading at 1.0865, still little changed on the day.
Looking ahead the Reuters/Michigan Consumer Sentiment Index preliminary reading for July will close a busy week data-wise.
Greece moves closer to bailout deal
On the Greek front, the German parliament, the Bundestag, has approved approved government negotiations for a new Greek bailout, while the IMF has reiterated a deal without debt relief is not viable, although straight haircut is off the table.
US CPI and housing data underpin the dollar
US consumer prices rose 0.3% in June and 0.1% year-over-year, as expected, while excluding food and energy, the so-called core prices rose 0.2% MoM and 1.8% YoY, matching forecasts. Meanwhile, US housing starts rose 9.8% to 1.174 million versus 1.127 million expected and building permits climbed 7.4% to 1.343 million.
Upbeat data gave the greenback a boost and sent EUR/USD to s fresh daily low of 1.0860 from 1.0885 before the data. However, EUR/USD has managed to hold above yesterday’s lows around 1.0855. At time of writing, the pair is trading at 1.0865, still little changed on the day.
Looking ahead the Reuters/Michigan Consumer Sentiment Index preliminary reading for July will close a busy week data-wise.
Greece moves closer to bailout deal
On the Greek front, the German parliament, the Bundestag, has approved approved government negotiations for a new Greek bailout, while the IMF has reiterated a deal without debt relief is not viable, although straight haircut is off the table.