EUR/USD rises as US Dollar weakens on extended shutdown and market uncertainty
EUR/USD rises as US Dollar weakens on extended shutdown and market uncertainty
EUR/USD trimmed some of its previous losses and rises 0.16% on Friday’s late in the North American session, amid a scarce economic docket in both sides of the Atlantic. The US government shutdown extension to its 38th day and the light docket in Europe, keeps the pair trading within familiar levels around 1.1560.
Euro gains modestly as traders shun the Dollar amid US government shutdown.
That lack of data in the US increased uncertainty in the financial markets, as seen by Wall Street indices, plunging due to different reasons. Alongside the government shutdown, investors seem anxious about AI related companies being overvalued, triggering a sell-off in the four major US indices.
One should expect Greenback to being the haven, but traders opted to buy the Euro instead of the Dollar. The US Dollar Index (DXY), which tracks the performance of six currencies, dives 0.16% at 99.53.
Economic data in the US showed that consumers had grown pessimistic about the economy, revealed the University of Michigan (UoM) Consumer Sentiment poll for November. At the same time, the New York Fed revealed that inflation expectations for one year dipped, while for a medium term stood steady, revealed the October’s survey.
In Europe, the German Trade Balance showed the surplus narrowed to €15.3 billion in September, beneath the €16.8 expected, following August’s downward revised surplus of €16.9 billion.
Source: Fxstreet
