EURUSD is losing momentum; investors are interested in the safe “greenback”.
The major currency pair is falling on Tuesday. The current quote for the instrument is 1.0134.
The situation in the currency market remains the same – investors are trying to escape from the risks. These risks are already known, but yesterday they were once again confirmed by weak numbers from China. It raises market players’ interest in the USD, which acts here as a “safe haven” asset.
The Euro is failing due to the energy crisis escalation in Europe. All major economies are suffering – Germany, France, and Spain. The United Kingdom is planning to re-activate its gas reserves. The gas price in Europe is skyrocketing, and this process might continue for a long time.
The overall picture is not so good, but it’s reality. None of the above-mentioned catalysts will be neutralised in the near future.
Later today, the Euro Area and Germany will report on ZEW Economic Sentiment. In the evening, the US is scheduled to release Capacity Utilization Rate and Industrial Production reports for July. However, the key triggers are still the risks.