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24 Feb 2015
Eurozone consumer price index data ignored by EUR/GBP pair
FXStreet (Mumbai) - The growing deflation in the Eurozone showed by the official data released did not have any impact on the EUR/GBP pair, which continues to trade around a new seven-year low of 0.7315 set earlier today.
EUR/GBP: Losses could be capped due to better-than-expected core inflation
The shared currency may find respite in the fact that the core inflation in January rose 0.7% year-on-year, bettering the estimate of a 0.6% rise. However, the headline figure indicates the prices continued to deflate in January. The inflation rate fell to 0.6% year-on-year in January, from 0.2% in December, while month-on-month prices fell 1.6%.
Markets are likely to remain focused on the Greek debt deal drama and BOE’s Carney and ECB’s Draghi speech later today.
EUR/GBP Technical Levels
The pair has an immediate support at 0.73, under which the next support is seen directly at 0.7105 (Dec. 2004 high). On the flip side, a rise above 0.7341 could see the pair re-test 0.7378 (10-DMA) levels.
EUR/GBP: Losses could be capped due to better-than-expected core inflation
The shared currency may find respite in the fact that the core inflation in January rose 0.7% year-on-year, bettering the estimate of a 0.6% rise. However, the headline figure indicates the prices continued to deflate in January. The inflation rate fell to 0.6% year-on-year in January, from 0.2% in December, while month-on-month prices fell 1.6%.
Markets are likely to remain focused on the Greek debt deal drama and BOE’s Carney and ECB’s Draghi speech later today.
EUR/GBP Technical Levels
The pair has an immediate support at 0.73, under which the next support is seen directly at 0.7105 (Dec. 2004 high). On the flip side, a rise above 0.7341 could see the pair re-test 0.7378 (10-DMA) levels.