EURO OFF 13 MONTH HIGH AGAINST US DOLLAR AFTER DETERIORATION IN GERMAN BUSINESS SENTIMENT

Published on Aug 27, 2024 12:07

Euro has slipped after hitting around 13 month high above 1.1200 against the US dollar as traders focus on economic cues from the region. EUR/USD pair had spiked sharply over last few days with a break above 1.1000 mark boosting sentiments further following clear hints of a reduction in interest rates by US Fed chief Jerome Powell. However, the single currency softened yesterday after business sentiment in Germany deteriorated for a third month in a row in August. German companies judged their current situation as worse and turned more pessimistic regarding the outlook, survey results from the ifo Institute showed Monday. The ifo business confidence index fell to 86.6 from 87.0 in July. This pushed down Euro under 1.1200 mark and the currency quotes at 1.1180, almost unchanged on the day.