Euro 0.24% Down After Industrial Production Data

Forex News

Euro declined versus US dollar after Eurozone industrial production data. The EUR/USD pair lost 0.24% to trade at 1.1576 level. Meanwhile, further escalation of the US-China trade war could significantly boost the American dollar, making pressure on its major rivals, including the euro.

Industrial production in the euro area declined for a second month in a row in July. The Eurostat reported, that the volume of industrial production decreased by 0.8% in July compared to the previous month. Economists predicted a moderate drop of 0.5%. On an annual basis, industrial production fell by 0.1%, in contrast to the 2.3% growth in June and the expected 1% gain.

Meeting of the European Central Bank will take place on Thursday. The Bank is expected to hold rates unchanged at 0.00%, so the markets will be focusing on Mario Draghi’s press conference. The markets also expect a marginal downward revision of the 2019 and 2020 projections, due to weaker global growth.