Intraday Market Thoughts

Eurozone Confidence Disappoints, Latest Premium Trades

by Patrik Urban
Aug 30, 2011 13:25

USD is stronger across the board in the ongoing session. Eurozone data disappointed again, UK mortgage approvals rose. Market turns to Consumer confidence and FOMC minutes. Ashraf's latest Premium trades are up; 2 on EURUSD, EURGBP, EURJPY, GBPJPY gold, silver and more.

The Eurozone Business climate indicator dropped in August to 0.07 from 0.44 and the Eurozone Economic confidence fell to 98.3 from previous 103. Both indicators showed the weakest print since March 2010. This drop is blamed on continued anticipation of a slower growth and debt worries that plague Eurozone.

In the UK, Mortgage Approvals increased to 49.2K in July from 48.5 in June reaching the highest level since May 2010. Building Societies Association noted “an encouraging trend”.

Ashraf's latest trades on EURUSD using the latest volatility chart are up. Direct access here: Non-members can click here:

S&P Case-Shiller composite index is due at 9:00 am ET and seen coming at -4.6% after dropping by 4.5% previously. The selling price of a single family home has been declining each month since July 2010.

Consumer Confidence in August is seen lower at 52.1 after 59.5 in July.

At 2:00 pm ET the Fed releases Minutes from its August meeting that could provide insights as to how strongly FOMC members view the opposition to announcing additional easing measures and what tools would the Fed implement should the economy deteriorate to a point when the use of such tools would be warranted.


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