Excerpt from: GFT Analysts in the News
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| May 27, 2008 | | Currency trading with the euro | The euro is softening in forex trading on the currency market this morning as economic data comes in. Friday saw a decline in consumer confidence in Germany, the largest economy in the euro zone. On top of that, French housing starts are showing weakness.
However, even though the US dollar is ahead in currency trading with the euro today, the ECB is expected to remain focused on inflation, since it is still an issue for the near term. This may help support the euro in forex trading for a little longer, as the ECB leaves rates the same rather than cutting.
It is important to note that the euro zone economic data does not justify any rate increases, and this means that things could change in the long term as the rate differential between the US dollar and the euro lessens.
| Topic Tags: currency market, currency trading, currency trading euro, euro forex trading, euro zone, forex trading, US dollar, US dollar currency trading | |
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