13 Feb 2015
Eurozone economy getting back on track – GrowthAces
FXStreet (Barcelona) - The GrowthAces Research Team reviews comments that the eurozone economy is getting back on track, with Q4 2014 GDP printing an above consensus figure at 0.3%qoq, and further share retain their long position on EUR/USD, targeting 1.1500 levels.
Key Quotes
“A preliminary estimate showed the Euro zone economy expanded by 0.3% qoq and 0.9% yoy in the fourth quarter 2014. The reading was better than the median forecast for 0.2% qoq growth.”
“The Euro zone's biggest economy, Germany was a clear outperformer, growing by 0.7% qoq, far surpassing expectations of a 0.3% rise. French GDP growth amounted to just 0.1% qoq and Italian economy stagnated. Spain released its fourth-quarter figures two weeks ago and boasted quarterly growth of 0.7%, the fastest in seven years. The Dutch economy grew a healthy 0.5% qoq.”
“The near 50% fall in oil prices since last summer is likely to buoy consumer spending and the fall in the EUR/USD to near 11-year lows should help exporters in the Euro zone. On the other hand, the strong USD may weigh on the U.S.economy, that showed weaker macroeconomic data yesterday.”
“The EUR/USD rose yesterday on weak U.S. macro figures and hopes for Greek debt deal with Euro zone. The rate reached today’s high at 1.1441.”
“EUR/USD trading strategy: long at 1.1285, target 1.1500, stop-loss 1.1285”
Key Quotes
“A preliminary estimate showed the Euro zone economy expanded by 0.3% qoq and 0.9% yoy in the fourth quarter 2014. The reading was better than the median forecast for 0.2% qoq growth.”
“The Euro zone's biggest economy, Germany was a clear outperformer, growing by 0.7% qoq, far surpassing expectations of a 0.3% rise. French GDP growth amounted to just 0.1% qoq and Italian economy stagnated. Spain released its fourth-quarter figures two weeks ago and boasted quarterly growth of 0.7%, the fastest in seven years. The Dutch economy grew a healthy 0.5% qoq.”
“The near 50% fall in oil prices since last summer is likely to buoy consumer spending and the fall in the EUR/USD to near 11-year lows should help exporters in the Euro zone. On the other hand, the strong USD may weigh on the U.S.economy, that showed weaker macroeconomic data yesterday.”
“The EUR/USD rose yesterday on weak U.S. macro figures and hopes for Greek debt deal with Euro zone. The rate reached today’s high at 1.1441.”
“EUR/USD trading strategy: long at 1.1285, target 1.1500, stop-loss 1.1285”