EURUSD. Eurozone’s and US Inflation Reports (15 July)

In a time when leading global economies are keeping their refinancing rates to a minimum the importance of boosting the inflation comes to the forefront. Members of the ECB have lowered the rates to a zero, which had a positive effect on inflation and it’s growing slowly but steadily.

Eurozone CPI remains near the 0% and even a slight increase will have a positive impact on European currency:

..another two important economic reports from Eurozone were published last week, which affect the inflation directly. The first one is “Producer Price Index” and the actual results were significantly better than the expectations:

..also, Retail Sales report was published and the results are still on a decent level:

Overall situation in the USA is slightly better, but the inflation is still below the target level:

What is more, statistics from US labor market was published last week, including the most popular “NonFarm Payrolls” report. It seems that US national Bureau of Statistics has mixed up something and after the record low numbers last month, this time actual results were almost 300k (after 38k last month), but unemployment level increased from 4.7% to 4.9%. Looks like the numbers for last two months should be averaged:

There is still a downward trend on EURUSD D1 chart and indicators of technical analysis “Alligator” and “Awesome Oscillator” prove it as well. Longevity of further downward trend will depend on overall situation around “Brexit”.