Bears left the Euro alone for a while. Overview for 28.08.2019

EURUSD slowed down its decline; market players are still focused on the US-China trade agreement.

On Wednesday morning, the major currency pair is standing still in anticipation of news on the US-China trade negotiations. The current quote for the instrument is 1.1089.

At first, investors were inspired by a possible resumption of negotiations between the USA and China, but those hopes are fading quickly. There is nothing surprising about that: previous 8 months of talks didn’t result in anything even close to constructive, that’s why market players should expect nothing positive to happen this time, especially after both parties announced additional tariffs earlier. 

Yesterday’s numbers from the USA showed that the Conference Board Consumer Confidence was 135.1 points in August against the previous reading of 135.8 points. However, it is better than market expectations of 129.3 points. The components of the report show that the Present Situation Index went from 170.9 points in July to 177.2 points this month, while the Expectations Index dropped from 112.4 points to 107.0 points over the same period. 

There are no important numbers in today’s economic calendar. In the morning, Germany reported on the GfK Consumer Climate for September, which remained unchanged at 9.7 points, although it was expected to reduce down to 9.5 points. Absence of bad news is good news. 

Later in the afternoon, the USA will publish the Crude Oil Inventories, which is expected to decrease.