Here are the latest market charts and analysis for today. Check them out and know what’s happening in the market today.
The pair is trading higher on the daily charts, still near its multi-month highs even after plummeting in the red two trading sessions ago. In the eurozone, economic growth defies expectations and grew by 0.2%, which is in line with the previous quarter. As a whole, the economic growth in the European Union was at 0.3%, which is a tad higher than the 0.2% it recorded in the previous quarter. On a year over year basis, GDP gained 1.1% in the eurozone and 1.4% in the EU28 during 2019’s third quarter. Meanwhile, in Norway, Norges Bank CEO Yngve Slyngstad is stepping down from his post, which he has held for the past 12 years. Slyngstad was also the head of the country’s $1.09 trillion sovereign fund. According to news reports, he will continue serving as the Norwegian central bank’s head until a new CEO can take over the position. Amid this, the Government Pension Fund Global recently exceeded 10 trillion kroner.
The pair is trading near recent lows and appears poised to go lower in the recent trading sessions. It has trodden in multi-month highs during September and October, but now it’s weakening, having broken below the 50-day moving average. The Hungarian central bank governor recently penned an opinion piece and said that EU member states in and outside the eurozone should admit that the euro has been a “strategic error.” Hungary is not a member of the eurozone, and it doesn’t have a target date for adopting the euro. According to both its government and central bank, Hungary should not join the eurozone until its economy is strong enough. National Bank of Hungary Governor Gyorgy Matolscy said that the time has come to “seek a way out of the euro trap.” Meanwhile, the country’s prime minister Viktor Orban recently said that good relations with Russia was a necessity because of Hungary’s geographical location.
The pair is trading in the red near a resistance line. It has fallen sharply from its August highs, and then traded sideways through October. The moving averages, 50-day and 200-day, are indicating bearish sentiment for the currency pair. Over in Russia, the central bank cut interest rates to 6.5% because of low inflation, lackluster domestic growth, and fears of a global economic slowdown. According to the Russian central bank, the inflation slowdown is overshooting the forecast and the expectations for the inflation continue to decline. At the same time, the central bank cited as a reason the government’s “persistent delay” in spending on its $400 billion National Projects Program of infrastructure system. In its own words, the central bank said that the fiscal policy has had a constraining effect on the country’s economy activity. The bank’s inflation target is 4%, but it expects the rate to falls below 3% at the beginning of next year.
The pair is still trading in the red in recent trading sessions, going below the 200-day moving average, which indicates some bearish sentiment among traders. Price is coming closer to multi-month lows. Over in Poland, news reports and surveys suggest that the contribution of Ukrainian immigrants to economic growth in Poland reached 11% of the country’s GDP between 2014 and 2018. According to National Bank of Poland experts, the growth potential of the Polish economy at its peak in 2016 and 2017 jumped by around 0.7 percentage points because of immigration from Ukraine. On the flipside, the survey also suggests that the probability of further increase in immigrant numbers and the consequent boost in the Polish economy are limited. Estimates now suggest that the number of immigrants from Ukraine employed in Poland in 2018 is around 900,000.
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